01 Messages from Senior Managers
China Shipping (Group) Company Achieving Excellence with Striving for Safety-oriented Aiming for Environment-Friendly Thriving Enterprises by Contributing to Harmony as a Integrity Navigation Transport Developing Talents Responsible Citizen 01 01 About This About Report Guidelines to Central Enterprises released by the State-owned Assets released by the State-owned 2014 Corporate Social Responsibility Report About This About This Report Overview (CSR) report is the fourth corporate social responsibility Dear stakeholders, this This report describes our concepts, (Group) Company. released by China Shipping and also elaborates on our approaches to sustainability, strategies and management environmental, employee and achievements in fulfilling economic, safety, and efforts as well as the comments of stakeholders. community commitments Compilation Principles the This report is prepared in accordance with on Fulfilling Corporate Social Responsibilities Supervision and Administration Commission (SASAC) of the State Council, the Administration Commission (SASAC) Supervision and and (GRI) Initiative Reporting Global the of (G3.1) Guidelines Reporting Sustainability Academy (CASS-CSR 3.0) of Chinese the Chinese CSR Report Preparation Guide (G4) is The latest version of Sustainability Reporting Guidelines of Social Sciences. of management approaches. also consulted to strengthen the disclosure Reporting Period 1 and December 31, 2014, with some This report covers the period between January content and data dating back to earlier years. Release Frequency The report is released annually. Reporting Scope subsidiaries, some tier-2 subsidiaries, This report covers information about all tier-1 of China Shipping (Group) Company. shareholding companies and joint ventures Data Source documents and related statistics of China Data in this report is derived from in-house Shipping (Group) Company. References For readability purposes, any reference to “China Shipping”, “the Group”, or “we” in this report refers to China Shipping (Group) Company. Accesses to this Report This report is available in both Chinese and English. In case of discrepancy between the two versions, the Chinese version shall prevail. website at www.cnshipping.com. download this report, please visit our company To If you need a hard copy of this report or wish to voice your opinions on its content, please contact China Shipping (Group) Company at: No.678 Dongdaming Rd, Shanghai Addr.: 86-21-65967600 Tel.: Fax: 86-21-65966348 Email: [email protected] 02 Contents
Contents
27 Striving for Safety-oriented Navigation 28 Focus: Setting Up the Work Safety Monitoring System to Ensure Long-term Safety 04 Messages from Senior Managers 30 Nipping Risks in the Bud
08 About China Shipping 31 Building Safety-oriented Teams
33 Safeguarding Smooth Navigation at Sea 14 CSR Management 35 A Trustworthy Carrier of Special Goods and Materials
19 Achieving Excellence with Integrity 20 Focus: Driving Regional Cooperation under the "One Belt and One Road" Initiative 22 Creating Outstanding Value for Customers
24 Supporting Regional Economic Development
26 Seeking Common Progresses with the Industrial Chain
China Shipping (Group) Company Achieving Excellence with Striving for Safety-oriented Aiming for Environment-Friendly Thriving Enterprises by Contributing to Harmony as a Integrity Navigation Transport Developing Talents Responsible Citizen 03 Contents 70 Outlook 2015 72 Expert Comment 74 Benchmark 76 Appendix 79 Feedback Form MH370 Salvage 2014 Corporate Social Responsibility Report Focus:
Contributing to Harmony as a Responsible Citizen Contributing to Harmony as a Responsible 62 64 Shouldering Responsibilities in Times of Disaster Times 64 Shouldering Responsibilities in 65 Contributing to Regional Development 67 Engaging in Public Welfare 69 Performing CSR as a Global Citizen 61 Reform of Crew Management System, a Focus:
New Chapter of Institutional Development to the China Shipping Family Talents Attracting 50 Development Talent 51 Facilitating 55 Caring about Employees Thriving Enterprises by Developing Talents Thriving Enterprises by Developing 48 47 CSCL Globe's Maiden Voyage Ushered Globe's Maiden Voyage CSCL Focus:
38 Aiming for Environment-Friendly Transport Aiming for Environment-Friendly of Low-carbon Large Vessel Trend in a New System 40 Optimizing the Environmental Management 41 Driving Green Production 44 Realizing Green Sailing Advocating Green Office 46 37 04 Messages from Senior Managers
Messages from Senior Managers
Message from the Chairman
Xu Lirong Chairman of the Board and Party Secretary of China Shipping (Group) Company
China Shipping (Group) Company Achieving Excellence with Striving for Safety-oriented Aiming for Environment-Friendly Thriving Enterprises by Contributing to Harmony as a Integrity Navigation Transport Developing Talents Responsible Citizen 05 s . Messages from Senior Managers from Messages 2014 Corporate Social Responsibility Report For a long time, central enterprises have played a leading role in ensuring steady socioeconomic steady socioeconomic role in ensuring have played a leading time, central enterprises For a long CSR For China Shipping, and standard of living. level of production and enhancing the development have integrated enterprises. We task of central but also a proper is not only a moral responsibility, and social values. and DNA, striving for the alignment of economic CSR into our strategy As an international attention. and One Road” initiative attracted worldwide In 2014, the “One Belt opportunities brought by enterprise, we have firmly seized the development shipping and logistics have created new Silk Road. We Belt and the 21st Century Maritime the New Silk Road Economic transport business, spurred the stepped up the expansion of sea-rail modes of logistics services, construction of safe and environment- terminal projects, and promoted the development of overseas “One Belt and One Road” impetus, contents and advantages to the friendly fleets, adding construction. our pluralistic strategy on our of economic development, we have based Given the “new normal” Holding Co., Ltd. America) of China Shipping (South The establishment major business - shipping. and an optimized global marketing and service signals our commanding presence in all continents to industrial chain will The shift of focus of our business mode from traditional shipping network. various business segments and stakeholders can lead to the formation of an “eco-chain” where integration of industry and finance on the strength of In addition, the further exist and grow together. is lifting our sustainable financial business to the status of market research and project development economic mainstay and new engine. The Group priority for our production and operation. Safety management has always been a top have been equipped with independent safety monitoring and our major branches and subsidiaries mechanism ensures the full implementation of the departments. Our workplace safety monitoring and the standardization of production for the sake of responsibility system for workplace safety and customers. Meanwhile, we are pressing ahead with personal and property safety of employees which is conducive not only to efficiency and crew’ the reform towards unified crew management, to ramp up support continue and cohesive teams. We interests, but also to the building of vigorous and entrepreneurship advocacy on top of capital input, for less developed areas in forms of education development. By successively engaging 24 ships in injecting an adrenaline into regional sustainable we of China Maritime Search and Rescue Center, the search of MH370 immediately upon request enterprise in times of emergency have fulfilled our responsibility as a central Globe marks the phased success of “big ship, low carbon” strategy. The maiden voyage of CSCL gas (LNG) and other new have also made a decisive step in the application of liquefied natural We fleet structure and standardized Such achievements, coupled with “green ships”, streamlined energy. port operation, indicate our all-round commitment to environmental performance. Plan and the run-up to our 13th Five- The year 2015 will witness the final spurt to our 12th Five-Year CSR will be further As an integral part of our farsighted, holistic international strategy, Plan. Year and green integrated with corporate restructuring, comprehensive customer services, and safe development so that we can create greater overall value for stakeholders. At this juncture, we will take pains with innovation and reform, bear the weight of responsibilities, that, with and accelerate the integration of CSR ideology into daily operation. It is our firm belief into greater the support of all stakeholders, China Shipping will channel corporate sustainability wellbeing. contributions to national development and people’s 06 Messages from Senior Managers
Message from the President
Zhang Guofa Director, President and Party Committee Member of China Shipping (Group) Company
China Shipping (Group) Company Achieving Excellence with Striving for Safety-oriented Aiming for Environment-Friendly Thriving Enterprises by Contributing to Harmony as a Integrity Navigation Transport Developing Talents Responsible Citizen 07
Messages from Senior Managers from Messages 2014 Corporate Social Responsibility Report safety skills and introduced ships with optimal safety performance, thus preventing the occurrence safety skills and introduced ships with optimal safety of employees and guaranteeing the economic of serious shipping accident, protecting the rights and interests of customers. environmental we have optimized the own responsibility, Considering environmental protection our new processes, products and techniques, made our stewardship system, retrofitted ships with in building green offices for the and called for employee engagement more eco-friendly, offerings man and nature. purpose of harmonious co-existence between assets, we have vigorously promoted the reform Cherishing employees as our most valuable safe work environment, we have to creating a comfy, of crew management system. In addition enthusiasm and vitality of employees so that they can expanded the career paths and ignited the grow with the Group. we have invested heavily in poverty- whole society, Keen on sharing our achievements with the volunteers to support vulnerable groups, and stricken areas for years, encouraged employee communities on our doorstep, all of which have proactively engaged in the building of overseas contributed to our image as a responsible enterprise. Looking into the future, we will keep forging ahead and proactively assume the greater rights with our partners, we will keep employees’ Together undertakings in new conditions. take and interests in mind, safeguard our green homeland, perform our social responsibilities, of the corporate sustainability up a notch, and in turn contribute to the sustainable development entire world. In 2014, the sluggish recovery of world economy and the superimposition of “three periods” in recovery of world economy and the superimposition In 2014, the sluggish and our employees China Shipping markets into the doldrums. However, China dragged shipping and made new achievements. domestic and international challenges managed to trudge through and an YoY, miles, up 13.2% up a cargo turnover of 1.06 trillion ton we clocked Over the year, better services to customers, By offering YoY. 83.065 billion, up 21.4% operating income of RMB commercial intercourse between countries/regions. we helped promote the striving for excellence” and eyeing of “keeping honest and trustworthy, Upholding the core values management, revved up fleet we have constantly improved corporate a strategic global layout, pluralistic development, supply chain integration, steadily promoted restructuring, enhanced took an important step from traditional shipping opened a new vista for international operation, sustainability and laid a solid foundation for future to new business modes, built up corporate development. business development, we have established the Regarding safety as the premise of stable strengthened hazard identification, improved employees’ workplace safety monitoring mechanism, 08 About China Shipping
About China Shipping
Company Profile
Headquartered in Shanghai, China Shipping (Group) Company was established on July 1, 1997. The Group is one of the major State-owned backbone enterprises under the direct administration of the central government and is a super-large conglomerate with business in shipping, logistics, manufacturing, finance and terminals and supply.
China Shipping is mainly engaged in container, tanker, freight, passenger transport, car carriers and special transportation. We are also rapidly expanding LNG services. By supplementing shipping with a number of business segments, including terminal operation, integrated logistics, shipping agency, universal airfreight, shipbuilding and maintenance, container manufacturing, crew management, supply and trading, financial and investment, and information technology, we have established a complete industry system consisting of upstream and downstream companies in the shipping industry.
Our global presence is reinforced by branches in nearly 100 countries/regions, 7 shareholding companies in Hong Kong, North America, Europe, Southeast Asia, West Asia, South America and Africa. Currently, we are operating more than 100 overseas subsidiaries, agencies and representative offices as well as 400-plus business outlets.
1.0554 Cargo turnover amounted to 1.0554 trillion ton nautical miles
533 Cargo transport totaled 533 million tons
83.065 Operating income was about RMB 83.065 billion
Total profit registered RMB 3.06 billion, indicative of 3.06 another year in the black
Shipping
More than 80 domestic and international container routes 102 covered 102 countries/regions around the world
76.56% coastal crude oil market share stayed at 76.56%
▲ Key achievements of China Shipping in 2014
China Shipping (Group) Company About China Shipping 09
Business Segment in 2014 Under Company
▲ CSCL ▲ CSTANKER ▲ CSBULK ▲ CSPD ▲ CSL
Iron ore Crude oil
Steel Polyester
Automobiles Apparel
Wheat Construction machinery Newspapers and Household appliances magazines Liquid crystal glass
Food
Soya beans
Pulp Semiconductors Silica sand
Town gas
Wood chips
Stainless steel
LNG Nickel
2014 Corporate Social Responsibility Report 10 About China Shipping
Raw Materials Intermediate Goods Final Products
Main Cargo Main Cargo Main Cargo Energy Intermediate materials Food, alcohol, clothing, Crude oil, naphtha, natural and products newspaper, magazine, gas, etc. Et Fuel steel, stainless furniture,wax, paraffin, car, steel, aluminium, pulp, household appliance, etc. Resources paper, semi-conductor, etc. Iron ore, coal, nickel, Means of Transport Other bauxite, timber, sawdust, etc. Construction machinery, rail Container, truck, air freight, Food vehicle, factory, etc. car carrier Soybean, wheat, corn ,etc. Means of Transport Means of Transport Container, truck, air freight Tanker, LNG carriers, dry bulk carrier
162.68 87 81 78.1 139.8 126 124 53.05
Coal(million tons) Crude Oil(million tons)
56.84 11.71
9.1 41.6 40 7.4 31 6.07
Metal Ore(million tons) Grain(million tons)
2011 2012 2013 2014
▲ China Shipping’s freight volume of important materials (2011-2014)
China Shipping (Group) Company About China Shipping 11
Organizational Structure
BOD Office/General Office
Operation Management Department
Strategic Development Department
Party Committee Finance Department
Special Committee Safety Supervision Department
Human Resources Department Organization Department
BOD Managers Science & Technology & Information Department
Legal & Risk Management Department
Supervisory Panel Supervision & Audit Department / Discipline Inspection Group Work Department/Party/Leadership Group Inspection Department
Party Laedership Group Work Department
Trade Union
2014 Corporate Social Responsibility Report 12 About China Shipping
Management Team *
Xu Lirong Zhang Guofa Chairman of the Board and Director, President and Party Party Secretary of China Committee Member of China Shipping (Group) Company Shipping (Group) Company
Xu Wenrong Su Min Huang Xiaowen Vice President, Head of Discipline CFO and Party Committee Vice President and Party Inspection Panel and Party Member of China Shipping Committee Member of China Committee Member of China (Group) Company Shipping (Group) Company Shipping (Group) Company
Ding Nong Yu Zenggang Vice President and Party Committee Vice President, Party Committee Member, Member of China Shipping (Group) BOD Secretary and Press Spokesman of Company China Shipping (Group) Company
* The management team is as of December 31, 2014.
China Shipping (Group) Company About China Shipping 13
Corporate Governance
Our Philosophy
Create Values Build China for Customers Shipping into and Contribute to an Everlasting Social Harmony World-class through Safe, Company Quality, Efficient and Green Services
Our Our Vision Mission
Our Core Our Value Spirit
Keep Honest and Love My China Trustworthy, Strive Shipping, Take a for Excellence Leading Position
Integrity and Compliance
China Shipping has upheld the business ethics of “honest operation and fair competition”, strictly observed laws and regulations, and adhered to integrity at work. In 2014, we deepened work style improvement by investigating into and punishing abuse of power for personal gain as well as violations of the “eight-point code” and the Party’s political discipline. We got to the bottom of irregularities committed at the height of crackdown, and circulated notices of criticism or gave warnings to the perpetrators. We organized inspection tours and promoted the development of integrity rules at tier-3 and tier-4 subsidiaries. We also conducted training to build employees’ awareness of compliance.
Risk Control
Abiding by the ideology of law-based corporate governance, China Shipping has enhanced internal control for effective, timely risk prevention and management. In 2014, we held a tight rein on the purse strings and made rational plans for investment and financing to ensure safety and liquidity. We enhanced contract management, prevented credit risks and protected accounts receivable. We also intensified control over new business like trade finance, construction underwriting and logistics underwriting, and optimized the measures for prevention, control and elimination of risks in innovative modes.
2014 Corporate Social Responsibility Report 14 CSR Management
CSR Management
CSR management has always been an integral part of China Shipping’s operation. We have constantly enriched the connotation of our social responsibilities, integrated the ideology of sustainable development into daily operation, and strived for harmonious development of the Group, environment and society.
Route of Promoting CSR
CSR Philosophy
An integrity central SOE
Create values through universal integrity central SOE Striving for Safety- oriented Navigation A safe
A citizen
central SOE Citizen Sustainable as a Responsible development
Contributing to Harmony
Thriving DevelopingEnterprises Talents by A vibrant central Aiming for
Transport Environment-Friendly SOE A green
central SOE
CSR Management Framework
The Group CSR Responsible for social responsibility strategy formulation and planning approval Committee
Develop the Group's social responsibility regulations; compile the Group's social The Group CSR responsibility development plans in three years and annual reports; develop the Group's Working Group annual work programs; guide and track the specialized company to carry out CSR, etc.
Develop strategic objectives and carry out the practice under the Group's sustainable Sub-companies development framework
China Shipping (Group) Company CSR Management 15
CSR Planning and Objectives
Improving safety management, keeping ships and onshore/offshore entities under control in terms of emergency and disasters, and ensuring operation during typhoon or other severe weather conditions
Enhancing safety management, Streamlining the customer optimizing fuel management, service system, building the risk promoting environmental management awareness, and technology innovation, and Safety Environment improving operation and risk implementing the green sailing prevention policy
Economy
Society Supporting vulnerable groups, engaging in disaster relief, and spurring the Employees Laying stress on talent cultivation, and development of poverty-stricken areas enhancing employee benefits and care
▲ China Shipping CSR Plan (2013-2015)
CSR Management at Branches/Subsidiaries
Following the guidelines of the Group, various branches/subsidiaries of China Shipping have proactively engaged in various CSR-related activities, striving to spread the CSR ideology to each employee and each position.
Adhering to operational Sticking to operational Strengthening the reform and innovation, excellence, conducting excellence, enhancing internal promoting the transformation and development; differentiated route reform, conducting differentiated adjusting and optimizing industrial structure operation, optimizing fleet route operation, optimizing fleet layout; promoting the development of port structure, and developing structure, and developing new industry internationalization; improving the new business modes business modes management level and the talent team-building
CSCL CSDTC CSBC CSPL CSPD
Improving the safety management system to Tapping into new markets, strengthen the core competence, establishing new operating developing new customer service modes, enhancing modes, and optimizing cadre safety management, and management rules and employee promoting transformation training system and development
▲ CSR promotion at branches/subsidiaries of China Shipping
2014 Corporate Social Responsibility Report 16 CSR Management
Report Preparation and Identification of Material Issues
In order to know more about stakeholders’ expectations and requirements on China Shipping, we have, in the course of report preparation, conducted stakeholder interview and selected the report content according to the result. Besides, we have spared no effort to ensure the accuracy and compliance of the content.
July-August 2015
Collecting stakeholders’ feedback June-July 2015 Planning for subsequent CSR-related tasks
Confirming the content of the report by various departments and subsidiaries Reviewing the report by senior April-May 2015 management Determining the material issues Drafting the final report Collecting and supplementing the data
January-March 2015 Writing the outline of the report Drafting the report December 2014 Analyzing material issues Setting up a work group Collecting data Benchmarking against industry peers
▲ Report preparation
Answering to the new requirements of GRI Sustainability Reporting Guidelines (G4), we have for the first time conducted analysis on material issues in the report, for the purpose of publishing information and providing reference for corporate sustainability management and practices.
Step One: Analyze sustainability background
Economy Environment Society
Drawn-out recession of The worsening global China Shipping is expected shipping markets, decrease in warming leads to an to care more about employee demand and capacity surplus; urgent need for energy development as well as sailors’ successive issuing of favorable conservation and health and benefits, thus national policies-shipping emission reduction; better repaying society while enterprises have to pull “green sailing” has making profits and showing themselves out of the straits. attracted wider attention. responsibilities to shareholders.
China Shipping (Group) Company CSR Management 17
Step Two: Identify relevant issues
China Shipping’s CSR Compliance and Corporate governance and ideology, strategies and integrity internal control policies Risk control Environmental stewardship Results of employee system survey Crew safety Promoting industrial development Opinions from external References Relevant Service quality CO2 emissions stakeholders Issues Employee Waste management Concerns of industry development peers Green office Ballast water management Sustainable Employee care Supporting community development guidelines, development including G4 and CASS- Employee training Water use and management CSR3.0 Supplier management Protecting bio-diversity
Step Three: Determine priorities
Significance to stakeholders Compliance and integrity
Service quality
Corporate governance and internal control Supplier management
Crew safety
Environmental stewardship system Risk control Protecting bio-diversity Employee training
CO2 emissions Waste management Employee development Green office Water usage and Ballast water management management Employee care Supporting Promoting industrial community development development
high Very high Extremely high Significance to China Shipping
Step Four: Approve the content
Evaluation by the management Professional third-party Internal Evaluation by shareholders External evaluation audit Evaluation by subsidiaries and audit Benchmarking and survey on business units China Shipping’s engagement
▲ Identification of material issues by China Shipping
2014 Corporate Social Responsibility Report 18 CSR Management
Stakeholder Identification and Engagement
Customer satisfaction survey, customer communication convention, routine contacts and high- profile meetings
Enhancing service quality and customer satisfaction General meeting of shareholders, Volunteer public Building Local volunteer activities, Customers announcements,
Shareholders corporate activities public welfare roadshows, competence and media campaigns, promotions, and maximizing contacts donations shareholder Local shareholder and media engagement, and
community value coverage shareholders’ feedback Suppliers
Employees
Long-term, stable Employee benefits, cooperation for win- harmonious labor win situation relations and career development
Negotiations, regular visits, Employee congress, Trade bidding session, and field Union, League Committee surveys
Stakeholder entities Topics of interest Means of communication
▲ Stakeholder engagement mechanism of China Shipping
China Shipping (Group) Company Achieving Excellence with Integrity 19
Achieving Excellence Achieving Excellence with 1 with Integrity Integrity As the key to extensive movement of energy, resources, food and industrial commodities, shipping enterprises play a pivotal role in promoting sustainable development and global economic revival. Holding a leading position among them, China Shipping has always pursued the business philosophy of “attracting customers worldwide with honesty, building reputation through good-faith operation, and becoming a trustworthy, reliable and innovative Striving for Safety-oriented global carrier”, supported the overall development of customers, regions and industrial chain, and facilitated commercial contacts between different Navigation countries and regions. Aiming for Environment-Friendly Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 20 FOCUS
Driving Regional Cooperation under the "One Belt and One Road" Initiative
In 2013, President Xi Jinping put forward the “One Belt and One Road” (Silk Road Economic Belt and the 21st Century Maritime Silk Road) initiative. The aim was to forge practical economic partnership between China and countries along the routes, so as to build a community of shared interests, destiny and responsibility that features mutual political trust, economic integration and cultural inclusiveness. The construction of all relevant strategic pivots will bring in fresh opportunities for major international ports, terminals and logistics hubs in countries and regions along the course.
As the leader of the industry, China Shipping has responded actively to the initiative. In virtue of advantageous resources in shipping lines, logistics and ports at home and abroad, the Group has kept bringing forth new service models to meet diversified needs fo countries and regions along the routes, deepened regional cooperation and offered an impetus to global economic growth.
Silk Road Economic Belt 21st Century Maritime Silk Road
Extending to Asia-Pacific Economic Rim At present, Southeast Asian nations in the east and to European Economic One Belt and are the main partners of China. In the Rim in the west, it is the “world’s longest One Road future, China will extend its reach to the economic corridor with the greatest Indian Ocean, Middle East, Africa and development potential”. the Mediterranean.
Onshore Offshore Developing new logistics service modes China Located in Istanbul, a key node on the Shipping Maritime Silk Road, China Shipping Turkey Agency offers container import/ Promoting sea-rail transport implements the “One Belt export and inland transport services and One Road” Jointly building the Asia-Pacific and Jointly building smooth, safe and efficient Eurasian corridors initiative passageways
▲ Link between China Shipping and the “One Belt and One Road” initiative
◎ Innovating on Logistics Models to Spur Regional Development
The development of “Silk Road Economic Belt” is greatly underpinned by logistics. To be specific, the development of logistics will facilitate the movement of goods and services; such movement will bring about the growth of cities; and such growth will bolster up the economy. Relying on existing logistics companies along the Belt, China Shipping has placed vigorous efforts in developing stock yards, fleets and third-party logistics to greatly promote the trade and commercial contacts between China and the West as well as the common development of related countries along the route.
Connecting the land with the marine Silk Road, the rail-sea intermodal transportation has become an integral part of China Shipping’s development strategy. In the future, we will take full advantage of coastal ports, establish multiple inland dry ports, explore hinterland rail-container cargo sources and provide economical and convenient logistics service for domestic, export and import trade enterprises. For instance, CSCL will join hands with Shanghai Railway Bureau in establishing communication mechanisms, realizing information sharing and implementing major projects. This will enable CSCL to expand its reach to inland container transportation market and become, in real sense, a global comprehensive logistics provider covering marine shipping, rail transport, road transport and warehousing.
China Shipping (Group) Company FOCUS 21
◎ Creating a New Pattern of Economic and Trade Cooperation,
and Fostering a Community of Shared Responsibilities Achieving Excellence with China Shipping pays close attention to the development needs of all regions along the 21st Century Maritime Silk Road. To be specific, located in Istanbul - a key node on the Maritime Silk Road - China Shipping Turkey Agency relies on the Integrity advantageous shipping lines of CSCL, offering container import/export and inland transportation services in Mersin, Izmir, Bursa, Izmit and other major port cities of the country to boost local economic development.
To adapt to the modern shipping development trend, China Shipping has launched a shipping logistics and e-commerce platform named “e-shipping”. On September 16, 2014, the first shipments booked through “e-shipping” platform arrived at Kum port, Istanbul Turkey. China Shipping Turkey Agency (CSTA) organized a ceremony to which the Turkish consignee and CSTA employees were invited, and issued a commemorative medal to the consignee. CSTA also availed itself of this opportunity to introduce “E-shipping” to local customers, especially small- and medium-sized importers, helping them Striving for Safety-oriented develop a thorough knowledge about the efficiency, convenience and low cost of “e-shipping” and thus improve corporate management and work efficiency. Navigation
Since its founding, CSTA has been pursuing a policy that combines “going global” strategy with “localized development”. Except for GM and financial manager who are appointed by China Shipping, all employees come from local communities, which help boost local employment. Meanwhile, CSTA has promoted communications and cooperation by taking part in exhibitions, forums, product presentation fairs and all kinds of activities organized by local embassies and consulates, chambers of commerce and industrial associations. Aiming for Environment-Friendly ◎
Realizing Win-win Development with Stakeholders Transport
China Shipping has seized the opportunities presented by the “One Belt and One Road” initiative, striving to blaze new channels for logistics services and promote East-West cross-border trades through sea-rail intermodal transportation and innovative logistics service models. In addition to maintaining continuous and stable increases in principal business, we also endeavor to make due contributions to the sustainable development of countries along the routes.
Through sea-rail transport and business expansion of logistics enterprises, we have spurred the development of “CSTA is at the crossroad that transport facilities of countries along the routes, effectively
reduced transport costs, and facilitated business, capital and connects Asia with Europe. Therefore, Thriving Enterprises by personnel exchange. it shall endeavor to help the Group TalentsDeveloping expand overseas market and, more We have boosted economic and trade development of China importantly, play a vital role in the and other countries along the routes, bringing Eurasian “One Belt and One Road” initiative. As nations closer to one another and expanding the space of Turkey is referred to as the ‘home of development. the brave’, we shall forge ahead with more courage in the future.” We have inherited and upheld the spirit of friendly ——Wang Xiuping, CSTA General cooperation of the ancient Silk Road. China Shipping Turkey Manager Agency is committed to deepening long-term strategic
cooperation with relevant enterprises in Turkey, which has Contributing to Harmony as a
not only driven local employment and economy, but also Responsible Citizen promoted cultural exchange, mutual trust and understanding.
▲ China Shipping creates value for the Belt and the Road
2014 Corporate Social Responsibility Report 22 Achieving Excellence with Integrity
Creating Outstanding Value for 1.1 Customers
Offering services that reach or even exceed customer expectations remains an exhaustible impetus for China Shipping to forge ahead. To that end, we have expanded our service network, worked out tailored schemes for customers, and constantly improved work efficiency and service quality to win customers’ confidence and trusts.
1.1.1 Contributing to the Globalization
China Shipping endeavors to build an integrated global market with all stakeholders, so as to remove barriers caused by distance, facilitate cross-border movement of bulk commodities through outstanding services, and stimulate global economy. In 2014, we accelerated our pace in expanding overseas network and saw vigorous efforts in developing diversified industries on overseas market.
Case Offering Quality, Tailored Services to Customers
As the largest retailer of consumer goods and tools in Canada, Canadian Tire runs approximately 1,700 stores and outlets with an annual sales volume of up to CAD 5 billion, and therefore sees a considerable and stable volume of shipments. In view of this, Canadian Tire has set up very strict criteria for shipping service providers in terms of credibility, shipping price, customer service, schedule reliability and guaranteed ship spaces, and selects providers by the way of bidding every year.
In 2014, to answer the customers’ requirements, we worked out four-week booking forecasts and sent updates to freight forwarding agencies at the ports of shipment, so as to facilitate advanced space booking. We informed customers in advance of any booking failures and explained reasons, so that they could think of alternative plans without wasting too much time. In addition, we extended our quality service from space booking and transport to pre-ordering supports, and received high recognitions from our customers. This is exactly why we won more bids for 2015 than our peers and recorded a 52% increase in annual minimum quantity commitment over the 2014 level.
Promoting diversified development Streamlining the route of overseas industries network around the world Pressing ahead with the Yamal LNG China Shipping is establishing agencies project; expanding New Oriental’s ship in Mexico, Central Europe and Saudi leasing business and setting up four Arabia as well as branches in Czech ship operators abroad; participating in and Hungary; it has purchased equities Zeebrugge terminal project, Belgium and of shipping agencies in Holland, Asia Container Terminals project, Hong Belgium, Singapore and Malaysia. Kong.
Forming the pattern of seven holding Optimizing the global marketing and companies overseas service network of container business China Shipping (South America) was opened New Oriental and CSBC optimized in San Paolo, Brazil; the company established global layout by setting up offices in a customer service center in Atlanta. North America and Europe.
▲ China Shipping contributes to the globalization drive
China Shipping (Group) Company Achieving Excellence with Integrity 23
1.1.2 Creating Amazing Journeys
With the development of the society and uplifts of living standard, people have Achieving Excellence with higher expectations for the traveling services. China Shipping has, therefore, enhanced communication with travelers through visits, questionnaires and Integrity QQ group chats so as to better understand their needs and make timely adjustments by offering, for example, reasonably priced set courses, ticket booking/departure waiting/drop-off supports and other assuring, comfortable and touching services. In addition, we have set up the Wechat official account to publish timely updates of shipping schedules. In the future, we will establish an on-line marketing service platform and realize ticketing booking on Wechat apps, in a bid to offer more convenience to our customers. ▲ CSPL Wechat official account
Case Showing Loving Cares to Travelers Striving for Safety-oriented
At 21:40, March 22, 2014, a traveler on CSPL “Pu Tuo Dao” suddenly felt intense abdominal pains. Navigation Knowing this, our crew initiated the contingency plan, sailed at full speed to buy time for medical treatment, and called a “120” ambulance to wait at the terminal. At the same time, we contacted the hospital through satellite telephone for distant inquiry, took proper measures under the doctor’s instructions, and paid constant attention to the patient. Finally, the ship arrived at the port 40 minutes ahead of schedule for the patient to get timely treatment. Aiming for Environment-Friendly 1.1.3 Expanding an Efficient Logistics Service Model
Based on the needs of our customers, we have strived to refine our customer service model. To be specific, Transport we have prioritized the requirements of customers for logistics services and constantly optimized the original logistics models, so as to reduce the logistics costs and realize a win-win situation.
Case Cross-border Logistics Drive the Development of Cross-border E-commerce
In 2014, CSCL and China Shipping Network Technology Co., Ltd. jointly set up Shenzhen E-Shipping Gateway Co., Ltd. The aim was to integrate respective logistics resources and maximize the inflow of domestic and overseas customers and trades from Alibaba Group, thus establishing a brand-new public information platform for comprehensive logistics services. Thriving Enterprises by Developing TalentsDeveloping With this platform, CSCL and Alibaba Group integrate respective resources and experience and carry out in- depth cooperation in cross-border logistics and e-business, so as to solve the logistics difficulties of going global for domestic e-commerce companies, provide “low-cost and high-standard” cross-border logistics services for SMEs, improve in an all-round manner the O2O logistics experiences of SMEs, and promote mutual support and development of cross-border e-business and traditional shipping logistics.
Case Innovating on Transport Service Models
From Ordos production base to Tianjin Port, Chery used to transport its auto parts all in containers and by road. Contributing to Harmony as a After thorough investigations, China Shipping Logistics Co., Ltd. (CSL) discovered many problems with the original transportation model, such as heavy dependence on weather and road transport capacity and huge requirements for Responsible Citizen carriage free period by carrier owned CTNs. Considering the freezing and snowy winters in North China which may lead to icy roads and failure in guaranteeing the stability of transportation capacity, oil price and vehicle performance, CSL has put forth the option of rail-road intermodal transportation. To be specific, the cargoes will first be encased in rail containers at the production base and delivered to Baotou Railway Station by road. Then they will be sent to Tianjin Tanggu Station by train and re-encased in marine containers at Shengtie yard, Tianjin Port.
This novel model utilizes rail transportation (rail container) and re-encasement to ensure successful cargo delivery at lower costs for the customers and increase the profit potentials of CSL.The model has also received wide recognitions from Chery headquarters and on-site inspectors.
2014 Corporate Social Responsibility Report 24 Achieving Excellence with Integrity
Supporting Regional Economic 1.2 Development
In virtue of advantageous resources, China Shipping has enabled our customers to go global and, and at the same time, has actively been engaging in local communities to bolster up regional economy and competitiveness.
1.2.1 Assisting Customers in Exploring Overseas Market
Based on ports and shipping lines across the world and professional quality services, China Shipping has enabled our customers to sell products worldwide and engage in global competition.
Case Taking Customers to the World
Evergrande Spring, one of the customers of CSCL in domestic trades, had always found itself confused with the export procedures. Based on customer needs, CSCL appointed experts for training and guidance of the customer employees, assisted the customer in obtaining over ten import/ export certificates, and ensured the first batch of export products to be shipped on time to Europe within three weeks. Through this cooperation, CSCL took the customers to the world, expanded the business scale and improved the economic growth of the region.
Case Satisfying Customer Needs All in One Stop
The Thailand-made MG program marked the first step of SAIC Motor Corporation Limited (“SAIC Motor”) in implementing the “going global” strategy. Since the launch of the program, CSCL has been the exclusive logistics supplier to offer integrated services. Being capable of responding to all problems and controlling all risks in one stop, CSCL has provided powerful logistics supports for SAIC Motor to go global.
Front-end services including space booking, customs declaration & inspection, trailer’s port arrival, and space arrangement
1
Back-end Information services including services 2 3 application including for detention & cargo tracking, demurrage free schedule forecasting, period and services and arrival/departure for shipping in announcement Thailand
▲ CSCL integrated services
China Shipping (Group) Company Achieving Excellence with Integrity 25
1.2.2 Pressing ahead with Construction and
Development of Hainan Achieving Excellence with
While constantly expanding the business scope, we have also taken a proactive part in the construction of Integrity the communities where we operate, so as to drive regional economic development. Since the establishment, China Shipping Haisheng Co., Ltd. has assumed the important mission of safeguarding the transportation of goods and materials into and out of Hainan, and revved up municipal infrastructure development by supporting the construction of Hainan Special Economic Zone and International Tourism Island. In 2014, China Shipping Haisheng continued to safeguard the power supply of Hainan Island, and vigorously supported the output of minerals. It transported 1.3 million tons of power coals across Hainan; and 1.14 million tons of Hainan ores, representing a YoY increase of 17.5%. Striving for Safety-oriented Case Ensuring Efficient Power Supply Navigation
Huaneng Hainan Power Inc. is a major power supplier in Hainan. Affected by Typhoon Rammasun and Typhoon Kalmaegi in 2014, Macun Power Plant saw serious damages to the waterway facilities and found the power coals drying up, leading to short power supply. Knowing this, China Shipping Haisheng made power coal supply a top priority and rearranged shipping capacities based on the short notice of Huaneng Hainan Power about the coal import plan. China Shipping Haisheng also assisted Huaneng in organizing relevant entities to restore the waterway, worked with all other parties to ensure successful loading and unloading of cargoes, and deviled
the power coals in time to solve the shortage of power materials and ensure power supply. Aiming for Environment-Friendly Transport Case Sparing No Efforts in Satisfying Customer Needs
As an important kind of mineral resources of the province, Hainan ore has become one of the major bulk commodities output from Hainan. Through close ties with Hainan Mining, China Shipping Haisheng Co., Ltd. has understood the production and sales of Hainan ores, sparing no efforts in satisfying the shipping capacities required by a soaring volume of ore sales based on the company’s full shipping capacity, supports from other China Shipping subsidiaries and chartering services on the market. In Dec. 2014, Hainan Mining output 300,000 tons of Hainan ores, among which 140,000 tons were carried by China Shipping Haisheng Co., Ltd. Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 26 Achieving Excellence with Integrity
Seeking Common Progresses 1.3 with the Industrial Chain
China Shipping looks forward to progressing and developing together with industrial partners. It strives to optimize the industrial structure and drive the healthy development of upstream and downstream sectors while leading the industry in making progresses with innovative technology.
1.3.1 Contributing to Technical Innovations of the Industry
Relying on resource integration and collaboration, China Shipping has reinforced technical innovations in new vessel development, shipping safety, energy efficiency management and energy conservation; intensified the development and application of cloud computing, Internet of things, e-business platform and other frontier technology; and contributed wisdoms to the development of the industry.
Case Developing Intelligent Traffic System
Taking intelligent traffic surveillance and guidance system as a key focus, China Shipping Network Technology Co., Ltd. has engaged with security experts to set up the security program department, intensified R&D and market promotion of core technology of intelligent traffic products, and deepened the development of urban traffic and security businesses. In 2014, the company offered security services for CICA Shanghai Summit as well as the traffic guidance and automatic parking violation snap-shot programs in Fuzhou, Chengdu, Shanghai and other cities.
Research Patents Papers programs
14 80 4
Including “ship energy-saving Including 11 published Including one MOT (Ministry of Transport) program, appendage technology”, “shipping in Engineering Index one MOST (Ministry of Science and Technology) safety technology” and “key technology and one awarded at an “973” program and two MIIT (Ministry of Industry and for dynamic positioning system” international conference Information Technology) “hi-tech ship research programs”
▲ Major achievements of SSSRI
1.3.2 Expanding industrial radiation
China Shipping has injected vigorous efforts in optimizing industrial structure, striving to develop a mindset based on the whole industrial chain instead of only vessels. Over and above the shipping business, we also highlight services in cooperation with upstream and downstream enterprises in the supply chain, in an effort to remove the bottlenecks along the chain, further expand and innovate on sea-rail transport, trailers, customs declaration and warehousing business, and finally build up an environment where the Group and stakeholders can co-exist, interact, progress benignly and back up each other.
Case Unleashing Advantages for Industry-Finance Integration
On November 10, 2014, the opening ceremony of China Shipping (Group) Leasing Co., Ltd. (CSL) and the signing ceremony of its first financial leasing project was held in China. As a pilot domestic financial leasing company approved by the Ministry of Commerce and the State Administration of Taxation, CSL will fully unleash the advantages of China Shipping in shipping, ports and logistics, and keep forging ahead to explore the potentials of downstream and upstream customers, so as to promote industry- finance integration as well as healthy and steady industrial development through premium services.
China Shipping (Group) Company Striving for Safety-oriented Navigation 27
Striving for Safety- Achieving Excellence with 2 oriented Navigation Integrity Safety is one of the top priorities of China Shipping in fulfilling CSR.The importance of work safety is like the numeral “1”, which is followed by a sequence of “0’s” represented by the stable development of the company, well-being of employees and families, and rights and interests of customers. All stakeholders can enjoy their benefits only if work safety is guaranteed. In 2014, China Shipping set up the work safety supervision system, in an effort Striving for Safety-oriented to foster a permanent safety mechanism over navigation, production and daily work. Navigation Aiming for Environment-Friendly Transport Thriving Enterprises by Developing Talents Contributing to Harmony as a Responsible Citizen
2014 Corporate Social2014 Responsibility 年社会责任报告 Report 28 FOCUS
Setting Up the Work Safety Monitoring System to Ensure Long-term Safety
The importance of work safety in ensuring steady corporate operation is beyond the shadow of a doubt. For a good many reasons, however, the safety administration system often fails to be implemented in concrete works. Although China Shipping has shown a satisfying trend in work safety and made considerable improvements every year, the damages and loses to employees and properties still exist due to safety accidents and have posed a potential threat to long-term safety.
Based on the requirements of “strengthening consciousness of dangers to promote safe development”, China Shipping has maximized the role of “people” in intensifying the responsibility system and carrying out concrete measures for work safety, so as to reduce the occurrences and damages of safety accidents.
◎ Setting up the Work Safety Monitoring System
In 2014, in accordance with the Interim Measures for Supervising and Administrating the Safe Production of Central Enterprises issued by the State-owned Assets Supervision and Administration Commission of the State Council (SASAC) and the requirement that “all central enterprises shall implement in an all-round way the safety director system, setting up independent safety directors and independent safety monitoring departments”, China Shipping appointed safety directors and safety monitoring departments for seven ship operators and eight onshore/offshore companies. A relatively independent and efficient work safety monitoring system with clarified rights and responsibilities has gradually taken shape, in a bid to rev up the implementation of the responsibility system at all levels.
◎ Implementing the Responsibility System for Work Safety
The responsibility system for work safety identifies responsibilities for each specific post and individual employee to intensify the consciousness of responsibilities among relevant staff, and results in a shift of mindset from “I am required to be safe” to “I want to be safe”. In early 2014, China Shipping ensured conclusion of Work Safety Responsibility Agreement and Commitment Letters at various levels -the headquarters, direct subsidiaries and subordinate units - so as to pass the pressure and identify safety responsibilities, goals and tasks for leaders and employees at each level to ensure 100% employee engagement.
Managing Director First person responsible for safety
Safety responsibility Employees Managers implementation Concluding Being the Work Safety responsible for Responsibility work safety within Agreement and their authorities Commitment Letters
▲ China Shipping implements work safety responsibilities at all levels
China Shipping (Group) Company FOCUS 29
◎ Learning the New Work Safety Law
Since October 31, 2014, China Shipping has explained key points and standard terms of the new Work Safety Lawon Achieving Excellence with three straight issues of Hai Yun Bao (a shipping magazine), and compiled major revisions into tutorials. Since the official implementation of the new law on December 1, 2014, the headquarters and subsidiaries have organized 1,277 training Integrity sessions, so as to uplift the legal consciousness of employees at all levels and urge them to abide by the law in everyday work.
◎ Living up to the Great Trusts
In 2014, the effects of the safety supervision system began to sink in. Along the constant improvements in safety performance have come steady uplifts in customer satisfaction and economic benefits, and effective control over personal injuries and equipment damages due to safety accidents. China Shipping has fully lived up to the great trusts of Striving for Safety-oriented customers, employees and society. Navigation
Five cases of line-of-duty injuries less than those in 2013 Cutting losses of safety accidents performance Economic Social value Outstanding safety Improving Aiming for Environment-Friendly performance recorded by safety holding companies
management Transport
Paring down equipment All ship operators approved repair costs or certified as first-grade standardized enterprises
▲ Lifted safety management competence leads to transformation of socioeconomic value Thriving Enterprises by Developing Talents Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 30 Striving for Safety-oriented Navigation
2.1 Nipping Risks in the Bud
The recent years have witnessed a gradual uptrend in China Shipping’s safety performance and a downtrend in personal injuries and property losses due to safety accidents. But as great stress should be put on the prevention of accidents and a good job should lie in the littleness, we have never relaxed vigilance but strived to nip hidden dangers in the bud and minimize any possible losses.
Guided by the principle of “laying stress on the prevention of accidents”, we have seen further uplifted skills and operational competence among our employees, improved work environment for vessels and operation sites, and enhanced resistance against risks for subordinate companies, ports and vessels during the process of hidden danger detection and elimination.
In 2014, we detected and eliminated 16,760 general hidden dangers, of which 16,489 (98.38%) were rectified. Unlike previous danger screenings, the Group selected captains and chief engineers familiar with all our vessels as inspectors, not only to find defects, but also to explain reasons and urge rectifications, all at the same time. This helped improve the rectification rate and enabled employees to obtain danger detection and elimination skills.
Detected and eliminated 16,489 98.38% general hidden general hidden 16,760 dangers were dangers were general hidden rectified. rectified. dangers
Year Vessels under PSC Zero defect vessels Detention
2014 504 362 1
2013 447 333 3
▲ China Shipping’s safety performance
China Shipping (Group) Company Striving for Safety-oriented Navigation 31
Building Safety-oriented teams 2.2 Achieving Excellence with
People are always the lynchpin of a company’s management competence. Highly responsible Integrity employees never cross the safety boundaries and are willing to check and prevent any hidden dangers. In addition, proficient in safety skills, employees can cope calmly with dangers and minimize any possible damages or losses. China Shipping has embedded a highly-developed sense of responsibility into the minds of all employees, and intensified safety training to build safety-oriented teams in an all- round manner.
2.2.1 Taking Safety Principles by Heart Striving for Safety-oriented Navigation
The lack of experience of new hires has rammed home the need for China Shipping to carry out safety education. By embedding a safety-oriented mindset into training, we enable new employees to develop a clear understanding about the importance of safety as they first step on their career ladder.
In view of the special nature of work in the shipping sector, China Shipping has established a scientific and standard procedure for crew qualification tests and orientations, and invited experts with rich practical experience and solid professional skills to analyze safety accidents and taught staff lessons with typical cases. Aiming for Environment-Friendly
Case Busy Training for New Sailors on “Peace” Transport
As new members on the ship of Peace were unfamiliar with various equipment and not competent enough for ship operations, the captain intensified training and preview among the crew in compliance with the Australian PSC Updates issued by CSBC and CCS Australia, going through each item of the check list and rectifying upon discovery of any defects, so as to acquaint the new sailors with the work environment and arm them with professional skills. Thriving Enterprises by Developing Talents Contributing to Harmony as a Responsible Citizen
▲ “Peace” lifeboat detaching drill ▲ “Peace” fire drill
2014 Corporate Social Responsibility Report 32 Striving for Safety-oriented Navigation
China Shipping has put vigorous efforts in fostering a safety culture, so as to enable all employees to get into a strong habit of safe operation and pass that habit to everyone around them.
Case Creating a Safety Atmosphere
In December 2014, CIC Boluomiao Shipyard sent staff representatives to the production front-line, carrying out one-month safety compliance checks with emphases placed on on-site safety management, approval of operations with naked fire, work safety protection, safety measures implementation and environmental protection during ship repairing by internal teams or contractors. The representatives also exchanged minds with the workers over innovative safety management, so as to get extensive opinions and suggestions. Through constant launch of such activities, CIC Boluomiao Shipyard has fostered a safety- oriented culture where all employees take part in safety improvement to guard against ▲ Staff representatives are talking with constructors risks anytime anywhere. about operations with naked fire
2.2.2 Embedding Safety Skills in Deeds
To improve the pertinence and fidelity of safety Director of training, we have based our programs on real stories Department of and sent experts to guide employees in case analysis Dangerous Cargo and judgment, so as to warn each and every one Control and Pollution Prevention of Shanghai of the bitter lessons of blood and arm them with Maritime Safety professional knowledge. In addition, the Group has Administration intensified impromptu drills to enhance the employees’ One emergency coping ability and make sure no one will Technology Senior chief Manager of relax vigilance. engineers Lloyd’s Register Three Work One Immediately after the Korean Ferry Sewol disaster, safety CSPL held a special meeting to analyze the reasons board and identify faults in ship operation and emergency response, so as to improve the awareness of safe navigation among all employees.
Senior ship China Shipping Tanker Co., Ltd. (CSDTC) has set Senior captains Two surveyor from CCS up a work safety board for investigation, analysis, One evaluation and treatment of any accidents caused by its fleets, and used real accidents for case compilation and staff training, so as to enhance the emergency coping ability of relevant staff. ▲ CSDTC work safety board
China Shipping (Group) Company Striving for Safety-oriented Navigation 33
Safeguarding Smooth Navigation at Sea 2.3 Achieving Excellence with
Once collision, stranding and hijacking happened during navigation, the crew could rely only on themselves Integrity to handle the emergencies. Therefore, China Shipping not only provides ships with the best safety performance, but also brings in the most advanced installations and top-notch skills to improve navigation safety, and works out contingency plans against any possible seasonal and accidental disasters.
2.3.1 Building Safer Fleets
Seizing the strategic opportunity of “building China into a maritime power” and “constructing the 21st Striving for Safety-oriented Century Maritime Silk Road”, China Shipping has revved up the structural optimization and lifted safety performance of ships under the guiding policy of “dismantling old ships and building new ships”. Navigation
Introducing 38 new ships Reducing the average Superannuating 49 weighing 3.641 million dwt ship age from 8.73 to ships weighing 1.434 in total 7.68 years old million dwt in total
▲ China Shipping’s fleet replacement in 2014
While accelerating the development of novel safety technology, China Shipping has also tapped Aiming for Environment-Friendly the full potentials of existing technology. In 2014, we combined closed-circuit television (CCTV) and vessel traffic services (VTS) with the responsibility system for work safety and the standardization of
production, so as to safeguard the implementation of various regulations and institutions. Transport
Since April 2008, China Shipping has been monitoring the traffic management system of the group's ships in and out of the Yangtze river estuary at Wusong, Shanghai. In 2014, altogether 5,474 ship- times were monitored. Throughout the year, there were four incidences of breaches of the ship’s routing system in Shanghai section of the Yangtze River, a considerable reduction from the 2008 level of 140 ship-times per year; and 32 incidences of breaches of the Group’s regulations, lower than the 2008 level of 165 ship-times. China Shipping registered a significantly lower rate of accidents in Shanghai section of the Yangtze River. Thriving Enterprises by Developing Talents 2.3.2 Avoiding Major Marine Accidents
To help marine navigators develop an accurate understanding about the Convention on the International Regulations for Preventing Collisions at Sea (COLREGS), improve the effectiveness and pertinence of anti-collision training and lift the navigators’ anti-collision awareness and emergency coping skills, China Shipping has sent out anti-collision questionnaires and received answers from 1,039 navigators on 295 ships. Based on the analysis of the answers, the Group has made corresponding changes to the anti-collision training and orientation programs. Contributing to Harmony as a
The constant improvements in the safety management system, the strict implementation of safety Responsible Citizen measures and the arduous efforts of all employees have translated into a low incidence rate of ship accidents for three consecutive years. But as there is no finish line for safety work, the Group aimed for greater safety performance in navigation in 2014.
Year 2014 2013 2012
Total ship accidents (times) 22 19 21
▲ China Shipping’s ship accidents for recent three years
2014 Corporate Social Responsibility Report 34 Striving for Safety-oriented Navigation
Case Implementing Strict Disciplines at the Bridge to Avoid Collision
CSBC has implemented strict disciplines for sailors on duty at the bridge, so as to avoid any man-caused collisions. In 2014, CSBC inspected the observation of such disciplines through random checks and port inspection. Throughout the year, the Group conducted spot checks over the CCTV of 136 ship-times, and the ship administration departments and offices conducted self- checks over the CCTV of 328 ship-times, fining out 51 ship-times with breaches and bad habits. All personnel who violated the provisions were given sanctions by way of educational criticism, bonus reduction and notice circulation, etc., in accordance with the seriousness of the cases. The disciplines were better observed after a very short period of time.
In 2014, all shipping operators and ships of China Shipping implemented strict anti-piracy measures and intensified anti-piracy drills. In 2014, 586 ships of the Group passed the Gulf ofAden and the Indian Ocean. Altogether 6 vessels took part in the navy's escort, 2 took part in joint convoy's escort, and 92 were equipped with armed security personnel. In 2014, China Shipping saw no incidence of ship hijacks.
Case Jing Yu Zuo Coped Properly with Suspected Pirate Attack
In the afternoon of April 25, 2014, as Jing Yu Zuo was entering the Red Sea via the Bab el Mandeb Strait, the sailors on duty noticed two fast-sailing yachts about five or six nautical miles ahead and then over 30 yachts approaching them from many different directions. The captain made a quick decision and sounded the warning sirens. All sailors run to their positions and were ready to fight against the pirates. Realizing there was not even the slightest of chances, the suspected pirates went away after about 40 minutes. This incident tested the emergency response of the crew and boosted their confidence in fighting against pirates.
2.3.3 Preventing Seasonal Safety Risks
Hazardous weather is the archenemy of shipping safety and may lead to enormous detriments even in these days of stronger anti-disaster abilities and advanced technology on ships. Typhoon and other extremely disastrous weathers, in particular, may inflict severe damages on ships, ports and equipment within a short period of time. In view of this, China Shipping steps up cooperation with the meteorological department, informing vessels of weather information in advance for them to make timely route adjustment or take precautionary measures. The year 2014 recorded nine incidences of typhoon in China, where Typhoon Rammasun made landfall on Hainan and became the strongest storm to hit South China since 1973. In virtue of adequate preparation and meticulous monitoring, China Shipping finally won the victory over Rammasun.
Case Establishing Annual Meeting System to Brace against Typhoons
Through July 12 to 22, 2014, altogether eight vessels registered under CSBC were affected by Typhoons Rammasun and Matmo. After the generation of typhoons, the company established the annual meeting system, so as to closely chart typhoon movements, offer timely navigation and anchorage information, monitor the position of anchored vessels, and design reasonable navigation routes. All affected vessels were fully prepared to brace against typhoons in accordance with the combating rules. The operators on duty also maintained contacts with the ships to gain an immediate knowledge about their progresses and work out corresponding countermeasures.
China Shipping (Group) Company Striving for Safety-oriented Navigation 35
A Trustworthy Carrier of 2.4 Special Goods and Materials Achieving Excellence with Integrity
Under the successful strategy of diversified development, China Shipping has made port operation and industrial production its new growth engines beyond the principal shipping business. Work safety at ports and factories has also become our keen focus. Also, we have worked out standard assurance systems for cargoes with high risks or special safety requirements, to ensure all cargoes could arrive safe and sound at the port along with the vessels. Striving for Safety-oriented 2.4.1 Building Safe Ports Navigation
Ports are where ships, goods, materials and people gather and are therefore the key to ensuring shipping safety. For the loading and unloading of freight containers with dangerous goods, China Shipping Ports Development Co., Ltd. has stipulated safety management rules, required subordinate joint ventures to follow strict reporting procedures for any port operations concerning dangerous cargoes, and worked out safety accident contingency plans and specific measures to ensure the safety of goods and storage yards.
For Nansha Stevedoring Co., Ltd. of Guangzhou Port, freight containers with dangerous goods, service Aiming for Environment-Friendly machines, welding & cutting cylinders at the container repair plant, and diesel stations specifically used for port machineries are all major sources of risks and dangers. The company, therefore, has brought forth “measures on dangerous cargo management” and “regulations on safety management of cylinders in hot Transport works”, and worked out contingency plans and on-site disposal schemes for any possible accidents.
Case Conducting Spot Checks and Implementing Strict Rectifications
In May 2014, the safety officers from China Shipping Ports Development traveled to Lianyungang for spot checks over New Oriental Internal Container Terminal. The officers identified the current problems of the terminal, including growing business volume, crowded yards, heavy traffic, cars competing for lanes and mixed pedestrian-vehicle flows, and put forth pertinent suggestions, Thriving Enterprises by
such as setting pedestrian passageway, redrawing on-ground marks, placing warning signs, Developing Talents appointing safety inspectors, and installing speed bumps or traffic lights at intersections.They also urged the terminal to implement such improvement measures. Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 36 Striving for Safety-oriented Navigation
2.4.2 Structuring a Strong Defensive Line for the Transportation of High-risk Items
China Shipping strictly observes pertinent requirements for the safety management of dangerous cargoes when transferring items covered by the International Maritime Solid Bulk Cargoes Code (IMSBC Code). For any items not included in IMSBC appendixes but involving a considerable risk during transportation, we have also worked out our own operating instructions with a reference to the prevailing measures in the industry.
Case Safeguarding the Transport of Nickel Ores
Though having not been included in IMSBC appendixes before Jan. 1, 2015, nickel ores do imply certain risks during loading and shipping. When containing a considerable amount of water, the ores will move like liquids with the movement of the ship and may flow in one direction as the ship leans to one side. It is therefore possible for the ship to get off balance and turn over.
In view of such risks, China Shipping Haisheng Co., Ltd. has evaluated and supervised the safety and fitness of all nickel-ore vessels, and required the carriers to take proper safety measures. In 2014, the company transported altogether 1.439 million tons of nickel-ores by 26 ships with great safety.
Obtaining the Closing the cabin cargo moisture the moment it content report rains to prevent before loading water damage
Before the During the navigation navigation
Refusing the loading of cargo Timely receivingy whose moisture content meteorological seems different to the information to report, and urging the avoid bad weather consignor to dry such cargo
▲ Safety measures for nickel-ore transport
China Shipping (Group) Company Aiming for Environment-Friendly Transport 37
Aiming for Environment- Achieving Excellence with 3 Friendly Transport Integrity China Shipping has always held a sense of respect and awe at the vast oceans and taken environmental protection as an unshakable duty. With an aim of large-scale, modern and low-carbon operations, the Group has endeavored to present green products and services, so as to voice the good wishes of harmonious human-nature coexistence by the way of sailing. Striving for Safety-oriented Navigation Aiming for Environment-Friendly Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 38 FOCUS
CSCL Globe's Maiden Voyage Ushered in a New Trend of Low-carbon Large Vessel
“Air pollutants and greenhouse gas emissions from the shipping sector have increased substantially in the last two decades, contributing to accelerated climate change and air pollution problems”, says a report from the European Environment Agency (EEA). Air pollutants emitted by shipping can affect the air quality in many areas, particularly around ports and busy shipping channels. As implied by Masamichi Marooka, Chairman of the International Chamber of Shipping, the imminent environmental regulations will place shipping enterprises under greater pressure and restraints in terms of environmental protection. In addition, the outbreak of the 2008 global financial crisis has also cast a gloom over the shipping sector. Faced with a constant downward trend in box rate, shipping enterprises are in urgent need for large-scale-development and low-fuel-consumption solutions. In line with this general trend of low-carbon economy, the ship industry is undergoing an upgrading from traditional techniques to energy-saving and environment-friendly technology.
◎ Phasing in the World’s Largest and Most Energy-efficient Container Ships
To adapt to the new trend of international liners under the “new normal” of global economy and shipping industry, China Shipping has strived to build an environment-friendly fleet with large, young and low-carbon vessels.This is also an important measure to implement the national strategy of “promoting the healthy development of the shipping industry”, optimize the fleet structure and uplift the international competitiveness.
In 2013, CSCL ordered five 19,100-TEU* container ships from South Korea’s Hyundai Heavy Industries. Measuring 400 meters in length and nearly 60 meters in width, each ship is 38 meters longer than the Royal Caribbean Cruises’ “Oasis of the Seas” and 67 meters longer than the “Nimitz” aircraft carrier of the US Navy, reaching a total size comparable to four football fields. With a designed draft of 14.5 meters at a service speed of 23 knots* , each vessel showcases the major state-of-the-art marine technology of the world , as it represents not only the largest, but also the most energy-efficient container vessel in the world.
* TEU= Twenty-feet Equivalent Unit * The “knot” is a unit of speed equal to one nautical mile per hour.
On November 18, 2014, the first of the five 19,100-TEUvessels was delivered and named “CSCL Globe”. After its maiden voyage in China, CSCL Globe called at Singapore on December 19, taking off on a journey around the world.
▲ 19,100TEU CSCL Globe
China Shipping (Group) Company FOCUS 39
◎ Outstanding Environmental Performance
CSCL Globe has been assigned the Environmental Passport-Design (EP-D) class notation in compliance with all Marpol* Achieving Excellence with regulations as well as other environment-related IMO* conventions, and has met all imminent environmental regulations. Compared with the current 14,100-TEU counterparts, CSCL Globe has seen unparalleled edges in environmental Integrity protection.
* International Convention for the Prevention of Pollution from Ships * International Maritime Organization
Shore power receiving system Ballast water treatment system Using shore power when berthing at terminals to Avoiding damages to biodiversity caused by reduce air pollution bringing ocean creatures to different waters Striving for Safety-oriented
77,200-BHP electronically-controlled main Navigation engine NK-NAPA energy-efficiency system Automatically controlling fuel consumption according to Optimizing the ship’s route and speed, and the ship’s speed and sea conditions avoiding energy waste due to blind speeding-up
▲ Outstanding environmental performance of CSCL Globe Aiming for Environment-Friendly
◎ CSCL Globe Travels to Create Values Like centuries ago, CSCL Globe
In virtue of extraordinary environmental performance, the newly deployed takes Chinese products to the Transport CSCL Globe sees a considerable cut in energy consumption and fuel costs. rest of the world and brings their Highly fuel efficient, CSCL Globe consumes 20% less fuel than CSCL’s products back to China. It builds 10,000-TEU ships. This added efficiency means that approximately 30,000 up a stable and strong platform for tons of carbon can be reduced annually, which is the equivalent of planting trade and communications, and over 1.6 million trees every year. Meanwhile, the 19,000-TEU CSCL Globe offers a powerful transportation is 20% larger in loading capacity than its 14,000-TEU counterparts, which means for Chinese commodities helps boost operational efficiency, reduce transportation costs and improve to go global. ——Sun Feng, Captain of CSCL profitability. Globe Thriving Enterprises by In the future, CSCL Globe will serve the Asia-Europe trade routes, so as TalentsDeveloping to introduce Chinese commodities to other countries and facilitate the realization of the “One Belt and One Road” national strategy.
CSCL Globe carries everything from TV sets, auto parts, “CSCL Globe’s arrival at the Port of washing machines, furniture, clothes and computers to food Felixstowe bears testimony to the and beverages, so as to facilitate the British and peoples flourishing economic and trade contacts along the course. It will herald an influx of Chinese goods between China and the UK, and will into the UK even more quickly, and offer great opportunity future expedite China’s shipping business Contributing to Harmony as a for British exporters to access Chinese and Asian markets. and make greater contributions to the Responsible Citizen CSCL Globe is like a window, through which you can see economic cooperation between both the delightful scenes of accelerated trades between China countries.” and the UK. —— Liu Xiaoming, Chinese Ambassador to —— The Times the UK
2014 Corporate Social Responsibility Report 40 Aiming for Environment-Friendly Transport
Optimizing the Environmental 3.1 Management System
In 2014, China Shipping made continuous improvements in environmental management system and convened the annual conference on energy conservation and emission reduction, so as to learn from historical data and identify limitations. In addition, we released the Interim Administrative Measures of China Shipping on Green Environment Award for Ships and identified “ships of the year” with leading performance in energy control during a single trip as the benchmark. We also introduced valuable experience and practices within the Group and kept improving our performance in energy conservation and consumption reduction. In addition, to regulate oil-containing wastewater treatment, we also worked out the Administrative Specifications of China Shipping on Oil-containing astewaterW Treatment which contains explicit provisions on the access, evaluation and withdrawal system of companies taking care of oil-containing wastewater, so as to clearly define duties and requirements and bring operational procedures up to standard. In 2014, China Shipping invested a total of RMB 59.56 million into the sphere of environmental protection.
CSCL In lieu of the previous extensive practice of assigning fuel allowance to route administration departments, CSCL has initiated route-specific fuel allowance management and optimized the evaluation proposal for energy conservation and emission reduction.
CSCL Route-specific fuel allowance management CSBC CSDTC CSBC has made CSDTC has detailed and enhanced energy explicit instructions CSBC conservation from Interim Administrative CSDTC on the organization Comprehensive the perspective of Measures for Energy and responsibilities energy-saving ship technology, Conservation and of energy mechanism established the Emission Reduction conservation appraisal, analysis and emission and decision reduction, the CIC mechanism for projects, contents Rescinded, fuel cost control, and requirements amended and and strengthened of evaluation, newly formulated guidance and and the incentive management monitoring of key links scheme. document of ship operation.
CIC By streamlining its energy business, CIC Jiangsu Company rescinded or amended non-compliant or outdated management documents and formulated 47 new ones.
▲ Measures to optimize the environmental management system of China Shipping
China Shipping (Group) Company Aiming for Environment-Friendly Transport 41
Driving Green Production 3.2 Achieving Excellence with
Upholding the principle of green development, China Shipping has put vigorous efforts in promoting Integrity green production, revamped and phased out backward production capabilities, brought the environmental performance of products to a higher level, and uplifted the green competitiveness.
3.2.1 Upgrading Environmental Technology Striving for Safety-oriented China Shipping encourages all subsidiaries to adopt new technologies, new Navigation products and new processes for energy conservation; revamp ships to conserve energy; popularize advanced energy-saving products and equipment; advocate the use of clean energy; and build a green fleet.
● In 2014, CSCL revamped the bulbous bow of three 5,600-TEU container vessels in an effort to reduce fuel consumption at an Aiming for Environment-Friendly “economical speed”, and registered a 5%+ fuel-saving performance. The company also Transport took the lead in adopting the optimal trim technology, so as to avoid any difference between the draft at the bow and at the stern caused by the trim during sailing which will have a direct influence on sailing speed and oil consumption. With optimal trim technology* , the company saved 23,188 tons of fuels. In addition, through technological transformation of electronic refueling machines and supercharger cutoff device, the Thriving Enterprises by ▲ CSCL revamped the bulbous bow of Xin Qin TalentsDeveloping company saved another 43,585 tons of fuels. Huang Dao to conserve energy
● CIC Boluomiao Shipyard transformed the small mobilediesel compressor at Feilongshan floating dock into a large-scale 10KV electric compressor to improve energy utilization and reduce about 600 tons of
CO2 emissions on an annual basis.
● China Overseas Property Management Co., Ltd. revamped the energy supply system and improved energy efficiency by 17.1%.
● CSBC finished transformation of cylinder lubricator on three VLCC ships. Contributing to Harmony as a Responsible Citizen ● ……
* Optimal trim theory refers to the fact that under certain amount of load (with certain displacement volume), if the trimming (fore and aft draft) is changed, the shape of underwater part of the vessel will change, resulting in a change of wave-making resistance, friction resistance and viscous pressure resistance. Besides, due to the changes of motion attitude, different trimming (fore and aft draft) will cause changes in wake flow field, thus influencing the efficiency of propellers.
2014 Corporate Social Responsibility Report 42 Aiming for Environment-Friendly Transport
520 352 343 362 30,795 28,990 502 293 23,895 OIL 445 124 83
Specific fuel consumption: Total energy consumption Fuel (10,000 tons) Natural Gas Power Consumption (10,000 tons of standard coal) (10,000 nm3 ) (10,000kwh) 3.95kg/kt•n mile 2012 2013 2014
▲ China Shipping energy consumption
Case First Restructured LNG Vessel Ushered in a New Era of Alternative Fuels
As the cleanest mineral fuel, LNG enables a 20% reduction in CO2 emissions, 80%-90% reduction in nitrides and almost 100% reduction in sulfides. It also features high heating value and extraordinary performance.
Upon thorough research and demonstration together with China MSA, Shanghai Maritime Safety Administration, CCS Shanghai Branch and Shanghai Ship and Shipping Research Institute, Puhai Shipping, a subsidiary of CSCL, has carried out LNG dual-fuel system restructuring for “Puhai 211”container vessel. It is the first restructured dual-fuel vessel in China that fully complies with CCS Rules for Natural Gas Fuelled Ships which took effect on September 1, 2013.
After a period of trial operation, the dual-fuel system on “Puhai 211” has seen constant uplifts in operational stability. The recent voyage from Shanghai to Wuhan registered a 58% comprehensive fuel replacement rate.
2012 December 2013 April 2014 May 2014
Working on the project Piloting the system of LNG dual-fuel restructuring for Trial operation of Initial fueling system restructuring “Puhai 211”container Puhai 211 for container vessels vessel
The initial fueling of Puhai 211 was at Hai Gang Xing No.01, China’s first marine LNG fueling station. It marks the first fueling task of Hai Gang Xing No.01 for a State-owned large container ship since it went into operation, and a firm step forward towards the national development strategy of “low-carbon Yangtze River, clean Yangtze River and green shipping”.
▲ “Puhai 211”LNGdual-fuel system restructuring process
China Shipping has pressed ahead with the implementation of research programs and solved difficult technology problems of environmental protection, energy conservation and emissions reduction. To be specific, the key national program “Research on Verification and Evaluation Technology of Ship Energy Efficiency Design Index (EEDI)” has been accomplished and passed the acceptance check; hi-tech ship research program “On-board Test of EEDI-based Evaluation and Sailing Speed Forecast Research” and “Development of Non-Stop River-Sea Energy-Saving and Environment-Friendly Container ship” of the Ministry of Industry and Information Technology have been approved. We have also obtained the patient for “ship energy-saving appendage technology”. In addition, “Research on Energy-saving Appendage and Key Technology” conducted by the Group won the third prize of the Science and Technology Award of Chinese Society of Naval Architects and Marine Engineers, and “Auxiliary Electric Heating Device of Oil Supply Unit” of China Shipping Haisheng Co., Ltd. became one of the first exemplary green, low carbon and recyclable programs of the transportation industry.
China Shipping (Group) Company Aiming for Environment-Friendly Transport 43
3.2.2 Presenting Green Products Achieving Excellence with China Shipping encourages all subsidiaries to bring forth innovative environment-friendly products and
services and lift their environmental performance, so as to ensure green practices in development and Integrity achieve low-carbon goals through innovation.
China Shipping Industry (CIC) keeps expanding its product lines. Subsequent to the success of 110,000-ton Aframax tanker and 10,000-TEU container ship, CIC has built two 105,000 ocean-going bulk carriers for Fujian Shipping Company. The bulk carriers feature a shallow draft and consume 15% less energy than the current Panamax when sailing at the same speed.
China Shipping Logistics (CSL) promotes the uses of small-displacement, low-consumption and low- emission vessels as well as fuel additives, detergent additives, lubricant additives and other novel Striving for Safety-oriented products for energy conservation, in an effort to reduce any environmental impact during transportation and offer customers green products and services. Navigation
CIC Boluomiao Shipyard has built the 100KW "Sharp Eagle" wave energy converter* for Guangzhou Institute of Energy Conversion, Chinese Academy of Sciences (GIEC CAS). This novel floating wave energy converter consists of two power generating systems and one mooring system to change the wave energy into constant electricity.
* Wave energy converter operates to convert wave energy first into mechanical energy, and then into electricity. Wave energy is a kind of inexhaustible renewable source of energy. Aiming for Environment-Friendly
China Shipping Environment Technology Co., Ltd. has developed the acoustic windows for Hangzhou
Xiaoshan International Airport, and installed them in typical noise-affected areas of the airport. The Transport monitoring data from Zhejiang Environmental Protection Scientific Research & Design Institute just approved the extraordinary performance of the windows in noise reduction. Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 44 Aiming for Environment-Friendly Transport
3.3 Realizing Green Sailing
The modern shipping business is driven principally by petroleum and contributes 6%, 20% and 30%
of the world’s annual CO2, SOx and NOx emissions, respectively. In view of this, China Shipping has advocated green sailing on the principle of “less energy consumption, less emission and less pollution”, making reasonable arrangements on sailing courses and speeds, following standard procedures for exhaust treatment and reducing the environmental burdens during transportation.
3.3.1 Sailing at a Green Speed
Reduced main-engine load may result in less fuel consumption, but greater difficulties in ship management. Along the attempts to gradually reduce the main-engine load have come incredible challenges and difficulties. In 2014, China Shipping continued to promote the use of economical speed to more vessels for energy conservation and emission reduction. We carried out technical evaluation and necessary improvements of large container vessels for them to adapt to lower loads, and specified the speed indicators of “economical speed”, “extremely low speed” and “special economical speed” for vessels of different types, as well as specific operational procedures and requirements for maintenance and monitor on related facilities. In 2014, the economic speed saved 505,000 tons of fuels for the Group.
2009 2012 2013 2014
40%MCR 30%MCR 25%MCR 15%MCR All self-operated large All self-operated large All self-operated large Over 70% of the self- container vessels container vessels container vessels operated large container of CSCL realized of CSCL realized of CSCL realized vessels of CSCL 40%MCR ultra-low- 30%MCR ultra-low- 25%MCR ultra-low- realized 15%MCR ultra- speed sailing speed sailing speed sailing low-speed sailing
▲ CSCL promoted the use of economical speed
Case “More Ships and Lower Speed” Leads to New Chances of Fuel-saving
In addition to the economic speed, CSCL has also probed into other constructive strategies, with an aim to realize fuel-saving at lower speeds while guaranteeing satisfying service qualities. After taking markets, ports of call and other factors into consideration, CSCL has decided to choose the Far East-East America AAE1 line for exemplary transformation. CSCL used to run nine 4,250-TEU ships for AAE1, consuming 4,417 tons of fuels per ship per trip. After the transformation, ten ships are now deployed for this line to reduce the fuel consumption to 4,065 tons per ship per trip, saving 352 tons per trip and nearly 18,000 tons every year.
China Shipping (Group) Company Aiming for Environment-Friendly Transport 45
3.3.2 Practicing Green Operations Achieving Excellence with Both on-shore operations and on-sea crew activities produce an enormous amount of sewage, exhaust
gas, solid wastes and noises which, if not placed under strict management, will lead to serious pollutions Integrity to the environment. In compliance with pertinent international and national regulations, China Shipping has formulated a series of rules to regulate the disposal of wastes during production and navigation. In 2014, CIC Boluomiao Shipyard won the title of “(Outstanding) Enterprise of Clean Production in Guangzhou”.
CSCL: Reducing waste water generation and enhancing discharge management CIC: Online monitoring of waste water treatment CSPL: Ensuring compliance with the requirement of zero discharge of slop
China Shipping Ports Development: Discharging after centralized processing Striving for Safety-oriented Navigation
CSPL: Unified treatment after port arrival Waste CSPL: Using a sophisticated China Shipping Haisheng: Strictly water dynamic system to reduce observing the latest international NOx emissions, and standards Solid Waste maintaining equipment in waste best state to pare down Unified processing after gas CIC: Emission smoke discharge classification reduction Aiming for Environment-Friendly
CSPL: Installing silencers at air-supply Noise Dust pipelines as well as at exhaust systems of main CIC: Enclosed dust absorption with and auxiliary engines dust-removing water curtain and Transport sand-scouring shed, and replacing CIC: Transforming the equipment and replacing iron sand with bronze sand which buzzer sirens with flash alarms to reduce costs more yet generates less dust disturbance to neighboring residents
▲ Specific measures to reduce emissions
1,096.81 1,067.36 21.16 20.59 Thriving Enterprises by 910.2 17.56 TalentsDeveloping
CO2 SO2 12.30 0.24
CO2(10,000 tons) SO2(10,000 tons) Emission intensity (kg/kt • n mile) 2012 2013 2014 Contributing to Harmony as a
▲ China Shipping waste gas emissions Responsible Citizen
The rapid development of shipping industry has increased the possibility of biological invasion at ports of different countries. To prevent the ballast from spreading unwanted aquatic organisms and pathogens, we have installed ballast water treatment plant for all newly built vessels since 2012, to effectively prevent the spreading of aquatic organisms in different waters and the disruption of ecological balance.
2014 Corporate Social Responsibility Report 46 Aiming for Environment-Friendly Transport
3.4 Advocating Green Office
China Shipping strives to bring out the green spirits of its employees through campaigns, initiatives and activities, and encourages them to change unwanted behaviors. What is more, we place strict management over the use of water, power, paper and other resources to stop any wasting and build green offices.
Total paper consumption Total paper in 2013 consumption in 2014 753,259 557,933
▲ China Shipping’s annual paper consumption
China Shipping encourages the employees to organize and participate in environmental campaigns and volunteer activities. In 2014, with the theme of “jointly creating a clean environment through energy- saving and low-carbon operations”, we organized activities during the National Energy Conservation Week and Low-carbon Day to introduce the concept of reasonable energy consumption, popularize pertinent policies and regulations on environmental protection as well as knowledge about energy conservation and emission reduction for the ship industry, and encourage all employees to support environmental protection by refining work procedures and every little things. eW also took part in the “2014 energy conservation and emission reduction publicity campaign of the transport industry”.
Supercharger cutoff transformation for large container vessels Outstanding program for low-carbon, green and Trim optimization for 9,600-& 14,100-TEU vessels recyclable development of the transport industry in China New Century Container Terminal Electric RTG Continuous sanding line for container plate pretreatment
Advanced enterprise for low-carbon, green and recyclable development of the transport industry in CSCL China
Contributor to low-carbon, green and recyclable Yingkou New Century Terminal invested by China Shipping development of the transport industry in China Ports Development Co., Ltd.
Advanced individuals for low-carbon, green and CSDTC employees recyclable development of the transport industry in China
▲ Honors for low-carbon, green and recyclable development of the transport industry
China Shipping (Group) Company Thriving Enterprises by Developing Talents 47
Thriving Enterprises Achieving Excellence with 4 by Developing Talents Integrity The enterprise and its employees constitute a community of interest; employees’ development is complementary to the fulfillment of the enterprise’s strategic goals. China Shipping respects the efforts of all members, safeguards their basic rights and interests, supports their broad- based development, cares about their work and life, and is more than eager to continue our exciting voyage with them. Striving for Safety-oriented Navigation Aiming for Environment-Friendly Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social2014 Responsibility 年社会责任报告 Report 48 FOCUS
Reform of Crew Management System, a New Chapter of Institutional Development
The crew takes up half of China Shipping’s total employees. Given the changes in shipping markets, the original crew management system is beset with overlapping responsibilities, low efficiency, stalled mobility and poor utilization of resources, weighing down the crew’s income for all the Group’s high input. In the time of drawn-out recession, how to better deploy the crew, respond to their concerns and safeguard their interests is one of the key issues facing employee management.
◎ Ideology
Laying stress on “resource integration, cost management, responsibility circumscription and smooth transition”, the reform of crew management system has targeted the existing problems, benchmarked against world-leading peers, eliminated resource mismatch, reduced unnecessary costs, strengthened crew management and built our market competitiveness.
Goals Actively and steadily, ensure marine shipping safety and the stability of crew thought Do not cut the disposable income of the crew The ship operators cost decreased obviously
4 CSISC has cooperated with ship operators to constantly reduce crew costs and management expenses.
3 On the strength of management reform, CSISC has reduced redundant personnel and enhanced resource utilization and labor efficiency.
2 Through the integration of the Group’s resources, CSISC is now responsible to crew managers at main ship operators and for crew management.
1 CSISC has clearly defined the crew management responsibilities, concluded service contracts with all sailors, and laid down the standard lump-sum crew fees.
▲ Objectives and pathway of the reform of crew management system
◎ Major Breakthroughs
For the normalization of intensive, market-oriented, professional international crew management, the reform, which starts with the improvement of crew quality, crew cost and competitive salary, is bound to enhance resource integration and corporate competence, and comprehensively serve the long-term interests of the Group and our employees.
China Shipping (Group) Company FOCUS 49
Clearly defining and streamlining the responsibilities of CSISC and main ship operators for the purpose of scientific and standardized management; improving crew quality, unleashing the advantage of professional management, Achieving Excellence with and enhancing the effectiveness of targeted training Integrity Strengthening implementation of our Professional objectives, mission, management ideology crew Promoting rational crew mobility and management and job duties, enhancing education on ideal resource utilization through unified and faith, and building the awareness of management, resource sharing and peak “three services”; normalizing corporate culture shaving; including external sailors in Normalized Intensive use development, and creating a harmonious, Reform service into our payroll, increasing crew pragmatic and enterprising atmosphere by work style of resources turnover and reducing unnecessary labor improvement calling on employees to learn from role models of crew costs management Benchmarking against outstanding international system shipping and crew management enterprises Striving for Safety-oriented to offset our weaknesses and build world- Benchmarking Market- Cutting lump-sum crew costs and enhancing oriented class crew teams; establishing a normalized against competitiveness through market-oriented intra- Navigation resource streamlining system, developing international intra-Group Group transaction; driving management through scientific resource guarantee models, and peers transactions market mechanism, building service and cost exploring the path of global crew deployment awareness, and caring more about the crew
▲ Major breakthroughs of China Shipping’s crew management system
◎ Benefits of resource integration Aiming for Environment-Friendly
Thanks to the reform, China Shipping has enhanced the efficiency of crew management, better safeguarded crew’s interests, and reaped higher profits with lower costs. Transport
Changed the development concept: Through the reform, China Shipping changed the traditional concept of crew deployment, respected the market rule and adhered to the trading rules more, traded internally according to the crew labor market price and the agreement, defined the responsibilities of CSISC and ship operators, standardized the rights and obligations. Both sides did their bits and straightened out the division of labour, promoting the group's strategic business competitiveness.
Intergreated the crew resources: China Shipping focused on specialized and intensive management. The crew and the crew managers were dispatched on the same platform in CSISC and are centrally managed. Ship companies no longer Thriving Enterprises by allocated overlapedly so that the number of crew managers were reduced, the management cost was cut, the effective TalentsDeveloping integration of crew resources was realized, the overlay cost was cut and the crew labor cost was effectively controlled. The crew labor cost of the group decreased by 308 million yuan in 2014 .
Enhanced the sense of belonging of the crew: Under the reform, China Shipping further strengthened the crew's group The reform of crew management system consciousness and the sense of "China Shipping family", strived has boosted the crew’s income. Relevant to guarantee the crew's welfare and care, provided broader career training has improved the crew’s skills and stage for the crew, provided a more thoughtful management quality. There is also a sharp increase in the services; increased and upgraded crew training, strengthened the
crew’s enthusiasm and safety awareness. Contributing to Harmony as a dominant role and master function of the crew in the enterprise All of us have shared the reform dividend. Responsible Citizen development, formed a harmonious atmosphere of respecting, ——You Xiaobo, a captain at CSISC understanding, caring and protecting the crew.
2014 Corporate Social Responsibility Report 50 Thriving Enterprises by Developing Talents
Attracting Talents to the China 4.1 Shipping Family
Diversified talents are the wellspring of our globalizing company. We are committed to building a diversified, inclusive and vigorous family, offering equal employment opportunities to people around the world, and pooling first-class innovative talents.
Whether in China or in other parts of the world, we have strictly followed the laws and regulations of the country/region where our operations are based, promoted the policy of equal employment, and brought people of different ages, genders and cultural backgrounds into our fold. We have rooted out discrimination based on education, gender or race, eliminated the use of child labor and forced labor, and left no stone unturned to safeguard the legitimate rights and interests of employees.
Domestic Trade Union Crew: employees: density: 19,673 18,157 100%
Abroad Minority Return to work and retention cadres: ethnic rates after parental leave: employees: 165 626 92.86%
Social insurance Foreign Contract- based premium collection: employees: employees: 100% 2,071 100%
Percentage Employee Disabled of female turnover: employees: managers: 28.33% 4.15% 278
▲ Employee composition of China Shipping
7%8%
2% 31% 23% 39% 41%
23% 26%
25 years old or below 26-35 years old Vocational high school graduates or others 36-45 years old 46-55 years old Bachelor’s degree holders Associate degree holders 56 years old or above Holders of Master’s degree or higher
▲ Age structure of China Shipping’s employees ▲ Educational level of China Shipping’s employees
China Shipping (Group) Company Thriving Enterprises by Developing Talents 51
Facilitating Talent Development 4.2 Achieving Excellence with
Adhering to the ideology of growing with employees, China Shipping has, in the course of “going global”, Integrity taken pains with creating an employee development platform so as to build younger, professional, and international talent teams.
4.2.1 Optimizing Talent Planning Striving for Safety-oriented We have constantly improved our mechanism and plans for talent development, striving to bring into shape well-structured, high-quality teams, stay ahead in terms of shipping resources, and set the stage Navigation for “going global”. In 2014, we formulated and published the Outlines of China Shipping’s Plans for Cadre and Talent Development (2014-2015), and set up a leading group and a work group for projects concerned, thus systematically promoting the cultivation of high-caliber professionals.
Strengthening
ideological Aiming for Environment-Friendly and theoretical Promoting the education Intensifying
development of the practical Transport leading talents in training of various sectors cadres
Main Enhancing the tasks Deepening the promotion, cultivation reform of cadre and management of appointment and talents promotion system Thriving Enterprises by Developing TalentsDeveloping Optimizing Improving the the cadre mechanism of cultivation, management appointment supervision and promotion mechanism for future talents
▲ China Shipping’s main tasks in cadre and talent development Contributing to Harmony as a Responsible Citizen
2014 Corporate Social Responsibility Report 52 Thriving Enterprises by Developing Talents
4.2.2 Spurring Shared Growth
Having included employees’ personal pursuits into corporate development strategies, China Shipping is committed to offering plenty of educational resources, conducting targeted training and expanding career paths, thus providing a staunch support for employee growth.
● Plenty of Educational Resources Setting much store by the training facilities, in 2014, we passed the expert panel assessment on Shanghai’s first high-skilled talent cultivation bases, led the preparation for the examination and acceptance of Shanghai Maritime Academy as the said base under Shanghai Municipal Human Resources and Social Security Bureau, and facilitated the application of the Academy for the sailor and maritime engineer evaluation and accreditation station, thus cementing the infrastructures for employee training.
● Full-fledged Training System China Shipping has connected our staff to managerial and technical training. In 2014, we invested RMB 67.94 million in 3,677,616 hours of training for 268,552 person-times. Individualized sessions were offered to systematically improve employees’ professional skills.
In order to constantly improve the post adaptability of employees, CSISC’s training centers has successively organized systematic training for the “three commanders”, systematic training for pilots on the Convention on the International Regulations for Preventing Collisions at Sea, systematic training for cadre sailors on “five preventions” (with prevention of collision as the mainstay), systematic training for sailors and maritime engineers on safety, systematic training for cooks on culinary skills, training on new technology and types of ships, and training for newly-promoted cadre sailors. In 2014, the training centers in Shanghai, Guangzhou and Dalian offered various types of training to 40,586 person-times. Stats show that over 90% of the recipients are “very satisfied” or “satisfied” with the contents, lecturers and arrangements, and more than 96% with the lecturers in particular.
In 2014, China Shipping party school/management cadre institute adhered to the general requirements of "serving the strategic development needs, serving the competitive ability of professional companies, serving the quality and ability of party members and cadres", focused key aspects, arranged identity, independent, accredited training modes, carried out targeted, distinctive training projects by different level and stages. Yearly,the group has organized 61 independent classes and offered training to 2,620 person-times, completed 104.8% of the annual plan. Auxiliary group functional departments and affiliated institutions organized 35 classed and offered training to 2,872 person-timea. There were 96 classes and 5,492 person-times altogether and the training satisfaction rate was 99.07%.
Case “70s & 80s Generation” Cadre Program in 2014
Eyeing the strategic goal of “promoting corporate reform, innovation, transformation and upgrading”, China Shipping has launched at the Party School a six-day training program for “70s & 80s Generation” outstanding cadres, which program, consisting of three modules (Party spirit, reform & development, and leadership), aims to help the cadres further consolidate theoretical knowledge, develop strategic thinking, enhance Party spirit, ideological standards, political awareness & work skills, and adapt to the Group’s need for scientific development. A total of 42 hand-picked cadres were involved in the off-the-job program.
China Shipping (Group) Company Thriving Enterprises by Developing Talents 53
● Diversified Cultivation Mechanism Considering the huge differences between the work arrangements of onshore and offshore employees, China Shipping has customized full-fledged career paths for each type of employees, providing institutional guarantee for vertical and horizontal mobility. Achieving Excellence with Integrity Case Dual Career Paths
In 2014, CSCL teamed up with CIIC HR Management Consulting Co., Ltd. to design the dual career paths. The “management path”, which runs at two layers (departmental and divisional management), applies to administrative staff and embodies relevant contents and requirements of cadre management, while the “business path”, which is divided into five tiers (authority, expert, pivot, backbone and support) and 11 sub-tiers, targets specialized talents engaged in specific tasks and features scientific design of performance evaluation, salary adjustment and promotion. Striving for Safety-oriented
The dual paths built on the administrative career route have helped youth employees give scope to their talents and find ways to distinction, guided them in aligning their vocational interests with the Navigation Group’s needs, offered them a broader playing field and excited their career aspirations.
Energetic, flexible, open-minded and quick-witted, youth employees represent our hope and our future. We have adopted multiple approaches to facilitate the growth of youth employees, ensuring the rational
development of talent teams with scientific age structures. Aiming for Environment-Friendly
Holding seminars to encourage engagement in business transformation and learning on the job Transport Educating youth employees in patriotism and corporate tradition Youth employee cultivation Learning Promoting deeds of youth employees to create an enterprising and environment vigorous atmosphere
Taking into account the results of written test, interview and satisfaction survey for the masses Giving scope to employees’ talent and offering a level playing field for promotion Fair promotion Creating a favorable environment for the growth of youth employees Thriving Enterprises by
Enhancing on-the-job training and guidance TalentsDeveloping Identifying premium training resources and courses and encouraging constant learning Practical Looking for talents through internal publications and group activities training
Working on the mentoring mechanism based on bi-directional selection Jointly making cultivation plans to align the development goals of youth employees and the Group Mentoring Training youth employees through major projects Contributing to Harmony as a ▲ China Shipping’s major approaches to the growth of youth employees Responsible Citizen
2014 Corporate Social Responsibility Report 54 Thriving Enterprises by Developing Talents
4.2.3 Respecting Personal Value
China Shipping recognizes employees’ contributions to corporate development. We have set up a dynamic incentive mechanism based on their capacity and contributions; besides, we have held colorful labor contests to reward those with outstanding performance and work skills, and to ignite their enthusiasm and vitality.
Cherishing the efforts of every employee, we have constantly improved our merit pay system and boosted team dynamics. By amending the 2014 Yearly Salary Plan for Heads of Affiliated Enterprises in China and the Business Performance Evaluation Proposal for Affiliated Enterprises in China, we have better matched pay with performance and personal value.
In 2014, we continued to hold the Group-wide “China Shipping Cup” Labor Contest. CSBC, CSPL, China Shipping Haisheng, China Shipping & Sinopec Suppliers and other affiliated enterprises engaged in diversified activities based on their actual conditions. The past year bore witness to 551 labor contests of various types involving 55,278 person-times, and 242 technical competitions with a turnout of 5,497. Such activities have showcased the charm of employees and increased their sense of fulfillment.
▲ “China Shipping Cup” Labor Contest
China Shipping (Group) Company Thriving Enterprises by Developing Talents 55
Caring about Employees 4.3 Achieving Excellence with
“Loose and tight” is our motto for constantly maintaining the high morale of our teams. We advocate Integrity work-life balance, pay heed to employees’ health and enrich their leisure hours, striving to build a “happy China Shipping” and spread affection to every corner of the Group.
4.3.1 Enhancing Prevention of Occupational Diseases
Health is the premise of happy work. Guided by the ideology of “safe and harmonious development”, Striving for Safety-oriented China Shipping attaches great importance to the prevention of occupational diseases. We have created
comfy and safe workplaces, reasonably designed the processes and workload, conducted relevant Navigation training in a systematic manner, and engaged our staff in the National Knowledge Contest on the Prevention of Occupational Diseases during the “safety promotion month”, thus building the all-round capacity for morbidity control and keeping employees in their best form at work.
Case Health Examination for Employees Engaged in Special Tasks
Employees engaged in special tasks are susceptible to health risks. Adhering to the management
concept of “putting people first”, on June 19-20, 2014, CIC Boluomiao Shipyard organized health Aiming for Environment-Friendly examination for over 400 employees exposed to high temperature, dust, noise and toxic substances. The health examination helped them better understand their physical conditions, safeguarded their vital interests, prevented occupational hazards and conveyed solicitude to all. Transport
4.3.2 Maintaining Crew’s Health
The crew spends most of the time in offshore operations, and a bout of illness or injury may pose a serious
threat to life. Keeping crew’s health in mind, China Shipping has taken care of every detail of offshore Thriving Enterprises by Developing TalentsDeveloping operations, striving to reduce the impact of emergencies and guaranteeing crew’s life and health.
Specifying the process of crew Equipping each ship with health examination and immunity a captain, a first mate and Equipping management, and preventing sick Strengthening sailors with Onboard Medicare or non-immune sailors from getting ships with Training Certificate and relevant health on board necessary experience examination Arranging health examination at personnel and Equipping ships with necessary for crew professional agencies to ensure apparatuses drugs, apparatuses and regular crew’s health medical supplies Contributing to Harmony as a Responsible Citizen Replacing in one day any sick Covering Establishing or injured sailor who needs Adding personal insurance for the crew with the emergency treatment off-board crew when buying hull insurance medical dispatch to ensure timely support for the Sending the sick or the injured sick and the injured insurance system to the hospital and attending to them by personnel from specific departments
▲ China Shipping’s scheme to protect crew’s life and health
2014 Corporate Social Responsibility Report 56 Thriving Enterprises by Developing Talents
Permanent offshore operations will exercise a great influence on mental health. We have hired consultants to customize a suite of de-stressing and adjustment methods for employees of different ages, offer psychological guidance and help them maintain a good state of mind in work and life.
Regularly offering psychological advice Organizing mental health examination Inviting psychological consultants to provide Integrating mental tests and guidance regular guidance for newly recruited college into the post-job health examination, and graduates majoring in offshore operations preventing from sailors with mental health Training crew managers and ship leaders so they problems getting on board can offer daily psychological advice to sailors
Enriching cultural life onboard Conducting psychological training Setting up the library, video room and recreation Conducting a series of professional room onboard psychological training for crew in Regularly supplying ships with newspaper, addition to orientations for new hires, magazines, books, DVDs, table tennis bats and business sessions for ship leaders, and pokers management seminars for cadre sailors
▲ China Shipping’s scheme to protect crew’s mental health
4.3.3 Improving the Quality of Life
In 2014, China Shipping organized an exciting series of sports and cultural activities, providing a broad platform for employees to express themselves, explore their interests and enjoy their leisure hours.
▲ “China Shipping Cup” 2014 Yangzhou Jianzhen International Half Marathon & National Half Marathon Championship
▲ Shanghai Shipping (Group) Company held a Mid-Autumn ▲ Contest of China Shipping’s Festival party for youth employees from other cities offshore crew
China Shipping (Group) Company Thriving Enterprises by Developing Talents 57
4.3.4 Caring about Special Groups Achieving Excellence with Regarding employees as family members, we have, through a variety of activities, provided humanistic
care especially in summer, winter and holidays, and support their children’s studies so that all Integrity employees can work and live happily.
● Front-line employees We always adhere to the principle of “visiting on-site”, which is a tradition for the management getting to know the needs of grassroots employees and crew members at factories or terminals. In 2014, the management visited 50,927 person-times in total, offering RMB 8.463 million consolation money, RMB 5.9116 million high temperature consolation money and RMB 19.6197 million high temperature allowance. Striving for Safety-oriented Navigation Aiming for Environment-Friendly Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
▲ Visiting front-line employees during hot spells
2014 Corporate Social Responsibility Report 58 Thriving Enterprises by Developing Talents
● Female employees Female employees constitute an indispensable part of our company and have a vital bearing on corporate development. In 2014, we organized a series of activities to celebrate the 104th anniversary of International Women’s Day, and assisted five entities in setting up Love Mummy Huts, in an effort to provide constant care for female employees.
Case Caring about Nursing Moms
CSCL Headquarters have reserved in its new office building a “hut” for nursing moms. Aside from the fridge, air conditioner, baby bottle sterilizer and other necessities, the hut is decorated with plants and wall-newspaper. Since it came into use in September 2014, many young mothers have expressed their gratitude for the opportunity to spend some quality time there.
▲ Four Love Mummy Huts set up by CSCL
China Shipping (Group) Company Thriving Enterprises by Developing Talents 59
● Family members Achieving Excellence with Permanent offshore operations keep the crew away from families. Therefore, we have paid particular attention to sailors’ wives and kept them in touch with one another, with sailors and with the Group via Integrity the dedicated liaison stations, thus promoting their understanding and support and freeing the crew from family disharmony. Striving for Safety-oriented Navigation
▲ Sailors’ wives are sending New Year greetings ▲ New Year’s greeting park visits for China
Shipping’s employees and families in Aiming for Environment-Friendly Guangzhou Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a
▲ Activities for sailors’ wives Responsible Citizen
2014 Corporate Social Responsibility Report 60 Thriving Enterprises by Developing Talents
● Retired employees Retired employees dedicated their youth and hard work to China Shipping. The group sent warm greetings and care and helped with their afterlife, caring for the retirees wholeheartedly.
Case CSISC Sent Tailor-made Ship Models to Retired Sailors
On December 5, 2014, CSISC held a video conference attended by retired onshore and offshore employees from Shanghai, Guangzhou and Dalian. We reported the progress of “ten deeds” for crew care, showcased the initial achievements of the reform of crew management system, and sent to each participant a ship model which was tailor-made based on the ship where the specific sailor had worked, The work information of the sailor was recorded on the nameplate. The elaborate gift has indeed embodied ▲ CSISC sent tailor-made ship models to retired sailors our affection and care.
● Needy employees Each employee is a valuable asset of our company. Therefore, the staff support system was set up for prompt assistance in times of need. We have engaged our staff in the “one day donation” activity, established and streamlined the needy employee profiles, and standardized the processes and rules in respect of counterpart aid. In 2014, we provided support for 10,099 person-times, granted RMB 10.108 million to poverty-stricken members, and offered RMB 707,500 to 690 needy employees and migrant workers to help their children study. ▲ Children of needy employees at China Shipping’s showroom
China Shipping (Group) Company Contributing to Harmony as a Responsible Citizen 61
Contributing to Harmony Achieving Excellence with 5 as a Responsible Citizen Integrity China Shipping has integrated stable business development with social harmony, adhered to the mission of “contributing to social harmony”, and implemented the CSR ideology of “serving our country and society”. We have safeguarded public interests, promoted community prosperity, supported social welfare and behaved as a responsible global citizen. Striving for Safety-oriented Navigation Aiming for Environment-Friendly Transport Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
2014 Corporate Social2014 Responsibility 年社会责任报告 Report 62 FOCUS
MH370 Salvage
Malaysia Airlines flight MH370 missing on March 8, 2014 with 154 Chinese passengers weighs heavily on our hearts. Salvage teams from all countries successively rush to the suspected crash areas. As a responsible corporate citizen, China Shipping, like all Chinese people, is deeply concerned over the incident.
◎ Establishing the Search Command Center
Through establishment of the Search Command Center, we are able to stay in touch with China Maritime Search and Rescue Center around the clock and give unequivocal orders to all merchant fleets in our fold.
◎ Joining the Salvage Team without a Moment’s Delay
On March 21, upon receipt of a salvage briefing from China Maritime Search and Rescue Center, we confirmed that CSB Brilliant, CSBC’s 300,000-ton bulk carrier which was then engaged in ore transport between China and Brazil, was closest to the suspected crash area in South Indian Ocean. Although the new destination was 1,350 nautical miles away and off the normal route, CSB Brilliant immediately adjusted its sails to the mission and made a salvage plan.
Identifying salvage risks and making contingency plans
Making salvage arrangements concerning safety watch on deck, overlook, equipment use, and self-production of salvage tools for the sake of efficient search and timely actions
Salvage Reporting ship location, speed and estimated time of arrival to China Maritime arrangements Search and Rescue Center and the Group at 0:00, 6:00, 12:00 and 18:00 (local time) every day
Ensuring the onboard machinery and emergency equipment is ready for use, and conducting rescue training to prepare the crew for all situations
Making all-round preparations including logistics, first-aid, board & lodging
▲ Salvage arrangements for CSB Brilliant
◎ Rising to the Challenges
As a make-shift search vessel, CSB Brilliant was not well placed for the mission. Our sailors, however, with their professionalism and seamanship, braved the treacherous elements of the suspected crash area, overcame the physical and mental stress of looking for a needle in a haystack, and completed their tasks with flying colors.
China Shipping (Group) Company FOCUS 63
08:40, March 21 11:30, March 21 March 22 Rerouting the ship to a suspected Making the optimal navigation Scrutinizing and debugging facilities and crash area 3,200 km SW of Perth proposal and contingency plans replacing those at fault so as to ensure normal operations under severe sea conditions Achieving Excellence with Integrity 10:15, March 24 14:00, March 23 March 23 Discovering a floating object which Heading for the waters 2,000 km Conducting rescuing training turns out to be an animal carcass west of Perth with four search plans and emergency drill after being retrieved from the water
14:00, March 26 5:50, March 27 7:00, March 28 Arriving at the target waters, Arriving at the target area Wrapping up the salvage upon order adjusting ship speed to 10 knots, designated by the Australian of China Maritime Search and Rescue Striving for Safety-oriented and conducting the salvage as Rescue Coordination Center under Center due to changes in suspected planned inclement weather conditions crash areas Navigation
▲ CSB Brilliant in MH370 salvage Aiming for Environment-Friendly Transport
▲ CSB Brilliant captain Liu Zubin is ▲ CSB Brilliant sailors are overlooking the calculating the route with the second mate suspected crash area SW of Perth, Australia
◎ Completing the Salvage with Flying Colors Thriving Enterprises by Developing TalentsDeveloping During the salvage which lasted for 166 hours from 9 a.m., March 21 to 7 a.m., March 28, CSB Brilliant sailed 1,997.1 nautical miles and searched an area of 3,003 square nautical miles, registering zero safety or pollution accident and zero casualty.
As of March 24, CSCL and China Shipping Development Co., Ltd. had engaged 24 vessels (including Xin Nan Sha, Xin Ning Yang and Bai Lu Zuo) in salvage missions in Gulf of Thailand, Strait of Malacca and Bay of Bengal. China Shipping & Sinopec Suppliers spared no
effort to supply fuel to the vessels. Contributing to Harmony as a Responsible Citizen As China’s first merchant ship engaged in the salvage in waters west of Australia, CSB Brilliant filled the world in with exact first-hand data, and excluded a suspected crash area in South Indian Ocean in the shortest time possible. Through participation in international rescue, China Shipping has performed the responsibilities of a large State- ▲ CCTV’s report and appraisal on China owned enterprise and built the image of a global corporate citizen. Shipping’s salvage mission
2014 Corporate Social Responsibility Report 64 Contributing to Harmony as a Responsible Citizen
Shouldering Responsibilities in 5.1 Times of Disaster
We have proved ourselves an active participant in disaster relief, aware that timely assistance is the best solace, economically and psychologically, for the flummoxed victims.
At 16:30, August 3, 2014, a 6.5-magnitude earthquake struck Ludian County, Zhaotong City, Yunnan Province, causing heavy casualties and economic losses. China Shipping made a quick response by donating RMB 3 million to the disaster area.
On April 11, 2014, tap water in Lanzhou was found to contain excessive levels of benzene. That night, Evergrande Group donated 12 million bottles of mineral water from warehouses in different regions. As an important logistics service provider of Evergrande, CSCL kicked off a contingency plan upon request for transport coordination at midnight. Our staff at Yingkou, Wuhan, Chongqing, Nanjing and other outlets worked away on the weekend night to facilitate delivery at ports and terminals and urgently dispatch trailers, hoping to freight the water to Lanzhou as fast as they could. By 4 p.m., April 12, all the 12 million bottles (490 TEUs) had been en route, some of which were delivered into the hands of Lanzhou residents on the same day.
We are greatly touched by the dedication of CSCL’s staff who worked double tides on weekend to ensure the efficiency and order of our water donation. ——Xu Chunlin, Director of Logistics Department of Evergrande Spring
China Shipping (Group) Company Contributing to Harmony as a Responsible Citizen 65
Contributing to Regional 5.2 Development Achieving Excellence with Integrity
We are keen on sharing our achievements with social stakeholders, and committed to repaying society by helping the needy. For years, we have offered partner assistance to many poverty-stricken areas, injected large quantities of resources to shore up local socioeconomic growth, and built with love a cozy and harmonious ecosystem.
Our partner assistance to Yongde County* , Yunnan has lasted for nine years. With emphases placed on student support, rural medical care and cadre training, we have constantly increased investment- totaling over RMB 23 million in education, infrastructures and industrial development, helping the county Striving for Safety-oriented to alleviate poverty through development, and greatly enhancing the level of production and standard of living in the mountainous areas. Navigation
* Located in the west of Lincang City in southwestern Yunnan, Yongde is a typical mountainous agricultural county and a national poverty alleviation target with one-third of its population below the poverty line due to the lack of access, limited arable land, weak industrial foundation, and backward economy and education.
In 2014, China Shipping made Aiming for Environment-Friendly donations of RMB 4.35 million, including RMB 3.3 million from the headquarters, RMB 666,000 (in cash and in kind) from customers Transport and subsidiaries, and RMB 390,000 from employees
The Group subsidized 100 needy students One of our subsidiaries from Yongde; our donated 55 computers employees supported and over 4,500 books 137 students. We
to Yongde No.1 Senior also raised RMB Thriving Enterprises by High School 100,000 from external TalentsDeveloping stakeholders for 30 students.
In August 2014, the seventh student support team headed for Yongde. Over the past nine years, we successively assigned 18 cadres and seven volunteer teachers to the county. Contributing to Harmony as a Responsible Citizen
▲ China Shipping’s student support in Yongde
2014 Corporate Social Responsibility Report 66 Contributing to Harmony as a Responsible Citizen
Yongde has nearly 160 primary and secondary schools, yet each school has only an average of ten teachers. Given the lack of qualified faculty, China Shipping has set up at Yongde No.1 Senior High School a “China Shipping class” for seniors who stand a chance of being recruited as crew members on a regular basis. We have assigned outstanding volunteers to take charge of the class and subsidized a total of 35 local teachers.
In order to further establish the long- term mechanism for student support, encourage mass participation and systematically track the growth of subsidized students, in 2013, China Shipping Youth Volunteers’ Association made common cause with Yunnan Yongde Project Hope Office to replace non-targeted, phased grants with a so-called “Wave • Wish” partner assistance campaign, a ribbon linking the company/employees with needy students. So far, 61 students have found their “sugar daddies”. ▲ China Shipping’s employees are playing with students from Yongde
From southwestern hinterland to coastal areas are we leaving our philanthropic footprints:
CSCL has launched the “China Shipping” scholarship for students and graduates who are excellent in character and all-round knowledge from Ningbo Hongda Lining Hope Primary School, Taijiang County, Guizhou Province.
Dalian Shipping (Group) Company donated RMB 20,000 and materials worth RMB 5,000 to its 2 partner-Wafangdian City, Dalian.
SSSRI donated RMB 30,000 help-the-poor fund from Party members to its partner - Baiqu Village, 3 Jinhui Town, Fengxian District, Shanghai.
CSDTC donated RMB 20,000 (RMB 6,000 subsidy, RMB 5,000 student grant, and consolation 2 articles worth RMB 9,000) to its partner-Yuyao Village, Nanhui District, Shanghai.
In 2014, Guangzhou Maritime Transport (Group) Co., Ltd. donated RMB 1.33 million to its partner 133 - Longtian Village, Shangping Town, Longchuan County, Heyuan City, Guangdong Province - for poverty alleviation and construction of service facilities.
In 2014, SSSRI CSNT Trade Union organized the 3rd and 4th “Sending Love to Tibet”* campaigns during the Children’s Day and before winter, donating children clothes, toys, coats and winter quilts.
* The “Sending Love to Tibet” campaign owes its existence to an initiative of a cadre sent to support Tibet. The first batch of coats were donated to Lhatse County in the winter of 2012, and distributed to residents of two villages in Chau Township in March 2013. During the second campaign in June 2013, with the theme of the Children’s Day, CSNT Trade Union doled out 18 packages of clothes, books, stationery and toys to Shigatse Center for Child Welfare.
China Shipping (Group) Company Contributing to Harmony as a Responsible Citizen 67
Engaging in Public Welfare 5.3 Achieving Excellence with
Charity & volunteering suggest persistent devotion. In China Shipping’s charity relay, all employees are Integrity the torch bearers who pass the flame of hope and passion through their work and life, and in so doing they motivate themselves.
5.3.1 Building the Volunteer Culture Striving for Safety-oriented Founded in 2005, China Shipping Youth Volunteers’ Association is an entity member of Central Enterprises Youth Volunteers’ Association and Shanghai Youth Volunteers’ Association. So far, it has Navigation registered over 2,500 volunteers and 75 service teams at various levels. Each year in March, or the “volunteer service month”, the teams will throw themselves into environmental protection, poverty alleviation, guided tours, eldercare, and support for large events. By means of WeChat public account, they have staged the “My Help, My Pleasure” China Shipping Micro-forum, a platform for volunteers to share their experience and feelings and grow up together.
In 2014, China Shipping’s volunteers engaged in the “Wave • Wish” campaign in Yongde; the “lighthouse initiative”, “port initiative” ,“new journey initiative”, and other voluntary services during the “volunteer service month”; the Port Beneficent Foundation charity bazaar, “Happy Volunteer Services • Green Aiming for Environment-Friendly China Shipping” tree planting activity, and “Learning from Lei Feng” Volunteer Service Day activity. For our services at the Conference on Interaction and Confidence-Building Measures inAsia, Xu Min Transport from Puhai Shipping was honored by Shanghai Municipal Committee of the Communist Youth League of China as an “outstanding volunteer”, and China Shipping Youth Volunteers’ Association as an “outstanding volunteer team”. Thriving Enterprises by Developing TalentsDeveloping Contributing to Harmony as a Responsible Citizen
▲ China Shipping’s volunteers
2014 Corporate Social Responsibility Report 68 Contributing to Harmony as a Responsible Citizen
5.3.2 Spreading Love to Society
Over the past years, China Shipping’s employees have offered constant support to empty nesters, poverty-stricken children and other vulnerable groups, spreading love and warmth to society.
China Shipping
By setting up the China Shipping Scholarship for Offshore Operations in 2007, we encourage students to work hard and devote themselves to the maritime industry. Over the past seven years, we have awarded scholarships of over RMB 2 million for 1,000-odd students, more than 98% of whom become our crew members after graduation.
CSPL CSCL
CSPL teamed up with Dalian Traffic Radio CSCL spent a day with children from Qizhi and Tianjin Traffic Radio in a public welfare Children’s Nursing Home at Tianjin Binhai New campaign, escorting students from Dalian to Area, and brought them books, clothes and their campuses in Tianjin. articles of daily use. It also launched a clothing donation drive to spread affection and warmth to children from poverty-stricken areas.
COHL Investment Guangzhou Developing Holdings Limited Xinhai Hospital
Employees of COHL Investment donated Xinhai Hospital sent New Year greetings books, food, toys and other consolation to the retirees living alone, conducted articles to Jinzhou Center for Child Welfare. health examination for them and introduced healthcare knowledge.
▲ China Shipping’s social care activities
China Shipping (Group) Company Contributing to Harmony as a Responsible Citizen 69
Performing CSR as a Global 5.4 Citizen Achieving Excellence with Integrity
We implement the development strategy of “going global” by tapping into overseas industries and establishing ourselves as a globalized enterprise. The seven holding companies in North America, Europe, Hong Kong, Southeast Asia, West Asia, Africa and South America have engaged in community development, promoted local employment and disseminated Chinese culture, thus performing CSR as a global citizen and creating a more favorable policy and cultural environment for shipping industry development and transnational operation.
China Shipping South America Holding Striving for Safety-oriented
Paying taxes of USD 454,338 and offering 21 jobs to locals over the past year Navigation Organizing employees to donate CLP 1.1 million to victims of the Great Fire of Valparaíso, Chile in April Participating in the annual marathon race in the Port of Santos Participating in MOVIMAT, a logistics fair in South America, to promote China Shipping Organizing regular football games with partners during leisure hours Aiming for Environment-Friendly
China Shipping Europe Holding Transport
Offering 635 jobs Subsidizing the 13th Chinese Bridge - Chinese Proficiency Competition for Foreign College Students to promote China Shipping China Shipping (Romania) contributed to the 2nd Chinese Dream Enterprise Scholarships China Shipping (UK) launched the “office open day” to engage the local Thriving Enterprises by
China Shipping Africa Holding TalentsDeveloping
Paying taxes of USD 889,098 and offering jobs to 80 locals Offering Chinese classes by professional teachers to local employees, giving the students a better sense of Chinese culture Participating in a series of activities, especially the celebrations of the Year of China in South Africa, organized by Chinese Embassy and Consulates in South Africa, the Economic and Commercial Counsellor’s Office, and the Sino-South African Economy and Trade Association to promote bilateral relationship and introduce Chinese culture, history and latest
developments Contributing to Harmony as a Responsible Citizen
▲ Localization efforts of China Shipping’s holding companies overseas
2014 Corporate Social Responsibility Report 70 Outlook 2015
Outlook 2015
Orientation Working Plan
Building risk management awareness, and improving operation and risk prevention Achieving Enhancing operation and management, promoting industrial development overseas, and excellence serving the “One Belt and One Road” initiative through universal Promoting our main business (shipping) as well as strategic emerging undertakings integrity (terminals and ports) Streamlining the customer service system and process
Optimizing the workplace safety monitoring mechanism, and strengthening its implementation at various levels Striving for Continuing to ameliorate the responsibility system for workplace safety, furthering the safety-oriented standardization of production, and guiding branches and subsidiaries in passing the first- navigation grade standardized enterprise examination Maintaining workplace safety, and reducing ship accidents and line-of-duty injuries
Constantly promoting the development of larger-sized, low-carbon young fleets Offering guidance and encouraging enterprises totap into the potential of equipment and technology by starting with technical development and management innovation, and Aiming for promoting the application of new materials, processes, products and techniques in favor of environment- energy conservation and emission reduction friendly maritime Capitalizing on the implementation of the Administrative Measures for Green Ship Award transport by conducting energy consumption data analysis and benchmarking and comprehensively enhancing statistical and analytical skills Streamlining relevant rules and gradually bringing into shape an energy management system running the gamut of procurement, management, utilization and waste treatment
Adhering to equal employment, calling for candid and open communication, and consistently building diversified teams Implementing the Outlines of China Shipping’s Plans for Cadre and Talent Development Thriving (2014-2015), optimizing the employee promotion scheme, strengthening youth employee training, streamlining the cadre supervision system, and bringing up a contingent of high- enterprises quality talents by developing Furthering the reform of crew management system, unleashing the advantages of talents abundant resources, bettering safeguarding crew’s rights and interests, and building overall corporate competence Constantly offering support to employees, paying heed to their health, enriching their leisure hours, caring about their families, and striving for a happy China Shipping
Consistently adhering to the mission of “contributing to social harmony”, and proactively Spreading engaging in various types of maritime rescue Integrating and redeploying resources in support of socioeconomic development of less harmony through developed areas the construction Ramping up support for vulnerable groups, offering assistance to more persons, families of corporate and groups in need, and helping them improve their living skills citizenship Organizing and participating in public welfare, espousing the growth of employee volunteer teams, and providing volunteer services to meet diversified needs of society
China Shipping (Group) Company Outlook 2015 71
2014 Corporate Social Responsibility Report 72 Expert Comment
Expert Comment
Comment on China Shipping 2014 CSR Report
First, I would like to congratulate China Shipping on the fourth straight year of publishing the CSR report. The 2014 CSR Report offers me a clear view on the Group’s efforts to implement and spread the ideology of Global Compact. On a personal note, this report, as compared with previous ones, shows the following characteristics:
Brand-new structure: At the top of each chapter is a section focused on the China Shipping’s CSR priorities and hot-bottom issues in 2014, which section, made up of back stories, solutions and value, has responded to stakeholder concerns in an all-round manner and elaborated on the Group’s systematic approach to integrating CSR into daily operation and performing CSR. Taking economic responsibilities for example, echoing the “One Belt and One Road” strategy, the Group has channeled its savvy into new logistics service modes, smooth sea-rail transport and overseas terminals, showcasing its value in spurring the implementation of the strategy and the sustainable development of regional economy.
Transparency and materiality: With reference to the latest requirements of G4 and CASS-CSR 3.0, China Shipping has introduced the section of “Report Preparation and Identification of Material Issues” to standardize and expound the processes and methods of topic selection and finalize the material issues through stakeholder communication, thus indicating the extent to which the Group pays heed to stakeholder concerns, enhancing the transparency of this report and proving the materiality of CSR performance.
Compliance with Global Compact’s labor and environmental protection standards: In a bid to address environmental challenges and implement the “big ship, low carbon” strategy, China Shipping has imported the world’s largest and most energy-efficient container liner, CSCL Globe. The Group strives for green products and services, constantly improves its environmental management system, and retrofits its ships to minimize environmental impact. It has stepped up the reform of crew management system, benchmarked against world-class peers, strengthened crew management, enhanced the quality of sailors, safeguarded their basic rights and interests, implemented new initiatives for crew care, strictly followed the ten principles of Global Compact, and realized responsible globalization.
In short, the rich content, striking characteristics, and compliance with the latest CSR reporting requirements have ensured the quality of this report. It is our hope that China Shipping will continue to unleash its resource and managerial advantages, fulfill its multi-faceted responsibilities, and contribute to industrial and socioeconomic development.
——Han Bin, Executive Secretary General of UN Global Compact Network China
China Shipping (Group) Company Expert Comment 73
Comment on China Shipping 2014 CSR Report
It is a great honor to share with you again on China Shipping CSR Report. What impresses me most about the 2014 CSR Report is that there are so many breakthroughs - in corporate management, in CSR performance as well as in the structure of this report.
In 2014, China’s socioeconomic development entered into a “new normal” typified by the deepening of economic reform and the acceleration of industrial transformation and upgrading. Keeping abreast of the times, China Shipping has promoted the integration of internal and external resources in an orderly manner. It has successfully reconciled diversified development with the building of core competence, balancing various undertakings while maintaining the steady pace of its main business - shipping. As a result, a number of new growth engines have taken shape, coupled with a sharp increase in overall profitability. It has established new business modes and extensively reached out to partners with the aim of jointly building sustainable industrial chains and providing customers and society with high value-added services. It has firmly seized the opportunities brought by the New Silk Road Economic Belt and the 21st Century Maritime Silk Road, contributing to the bigger picture of inter-regional connectivity.
With the ever-increasing managerial expertise comes a constantly improved CSR management scheme. The establishment of workplace safety monitoring mechanism in the best interest of ships, crew and customers has a vital bearing on the implementation of the responsibility system for workplace safety and the standardization of production. The reform of crew management system is a key step of China Shipping to safeguarding employees’ rights and interests and strengthening talent development. The debut of CSCL Globe indicates the success of “big ship, low carbon” strategy, and consolidates the Group’s industry-leading position in terms of environmental protection. The noble effort in MH370 salvage is just another example of CSR commitment. All of these have padded the CSR section of China Shipping’s resume.
Equally amazing is, among others, the content and structure of this report. For the first time has it conducted materiality analysis on China Shipping’s CSR management as per G4 standards, elaborating on the priorities and orientation of CSR performance through the lens of internal and external stakeholders. For the first time has it exhaustively described, in specific sections, China Shipping’s major CSR practices in various areas, and visualized the Group’s endeavor and accomplishment. I have every reason to believe that the original content and structure will be the “new normal” of China Shipping CSR Report.
In short, China Shipping has made great breakthroughs in CSR performance as well as the report. It is my sincere hope that the Group will go further towards sustainable development and repay our expectations with even better performance.
——Yin Gefei, Vice President of China WTO Tribune and Director of International Research Center for Social Responsibility, Sustainable Development of Peking University
2014 Corporate Social Responsibility Report 74 Benchmark
Benchmark
Contents GRI G3.1 indicators CASS-CSR3.0 indicators
Front cover
About This Report
Overview P1.1
Compilation Principles P1.1
Reporting Period 3.1 P1.1
Release RFrequency 3.3 P1.1
Reporting Scope 3.6/3.7 P1.2
Data Source P1.1
References P1.1
Access to this Report 3.4 P1.3/P1.4
Messages from Senior Managers 1.1/1.2 P3.1/P3.2/A1
About China Shipping
Company Profile 2.1-2.7 P4.1-4.4
Organizational Structure 4.1 P4.1-4.4
Management Team P4.1-4.4
Corporate Governance 4.8 G2.5/M1.1/M1.3/S1.1-1.4
CSR Management
Ideology of Promoting CSR G1.1
Report Preparation and Identification of 3.5 P1.1/P2.1-2.3/G1.3/G5.2 Material Issues
Stakeholder Identification and 4.15/4.17 G2.2/G5.1/G5.3/G5.5 Engagement
Achieving Excellence through Universal Integrity
Focus No.1 S1.6-1.7/M2.7/M3.5/S4.5
Creating Outstanding Value for Customers PR5 M3.1-3.3/M3.6/M2.7/M2.13/M2.14
Supporting Regional Economic Development M3.5/S1.6
Seeking Common Progresses with the M3.1/M3.5/M3.6/M3.7 Industrial Chain
Striving for Safety-oriented Navigation
Focus No.2 S3.1-3.5
Nipping Risks in the Bud S3.1-3.3
China Shipping (Group) Company Benchmark 75
Contents GRI G3.1 indicators CASS-CSR3.0 indicators
Building Safety-oriented Teams S3.4-3.7
Safeguarding Smooth Navigation at Sea S3.4-3.7
A Trustworthy Carrier of Special Goods S3.2-3.3 and Materials
Aiming for Environment-friendly Maritime Transport
Focus No.3 E1.1/E2.7-2.12/E3.4
Optimizing the Environmental Management System EN26 E1.1-1.2
Driving Green Production EN6/EN7/EN30 E2.1-2.3
Realizing Green Sailing EN3/EN4/EN5/EN26 E2.7-2.12/E3.4
Advocating Green Office EN12/EN14/EN16/EN18/EN20 E1.10-1.11
Thriving Enterprises by Developing Talents 2.10/EN29
Focus No.4 G2.24-2.30 Attracting Talents to the China Shipping S2.1-2.2/S2.4/S2.9/S2.11/ Family S2.14-2. 15/S2.31
Facilitating Talent Development LA1/LA2/LA13 G2.24-2.26
Caring about Employees LA11 S2.17-2.21/S2.27-2.29
Contributing to Harmony as a Responsible Citizen
Focus No.5 S4.13
Shouldering Responsibilities in Times of Disaster S4.9/S4.13
Contributing to Regional Development S06/EC1 S1.6/S4.13-4.14
Engaging in Public Welfare EC8 S1.6/S4.13
Performing CSR as a Global Citizen S4.11/S4.13
Outlook 2015 A1
Expert Comment A2
Benchmark A3
Appendix 3.12
Memberships with Major Social Organizations P4.6
Honors 4.13 P5.3
Feedback Form A4
Back Cover
2014 Corporate Social Responsibility Report 76 Appendix
Appendix
Memberships with Major Social Organizations
Organization Position
China Shipowners’ Association Vice President and Executive Director
China Communications and Transportation Association Vice President and Executive Director
China International Freight Forwarders Association Vice President
China Institute of Navigation (CIN) Executive Director
CIN Committee for Shipping Pollution Prevention Vice Chairman
CIN Committee for Dangerous Goods Transportation Vice Chairman
Chinese Society of Naval Architecture and Marine Engineering Vice President and Executive Director
China Association of the National Shipbuilding Industry Vice President
China Association of Work Safety Executive Director
Shanghai International Shipping Center Development & Promotion Organization Vice President
Shanghai International Shipping Institute Vice President
Shanghai Shipping Exchange Member
Shanghai Association of Work Safety Vice President
Sino-Foreign Energy Cooperation Think-tank Vice President and Counselor
Cross-Strait Sea Transport Exchange Association Vice President
ASF Safe Navigation & Environment Committee Member
Baltic and International Maritime Council (BIMCO) Member
International Association of Dry Cargo Shipowners (INTERCARGO) Member
International Association of Independent Tanker Owners (ITOPF) Member
Lloyd's Register of Shipping Director
American Bureau of Shipping Director
Enterprise Management Magazine Vice President
Labor Protection Magazine President
China Shipping (Group) Company Appendix 77
Honors
Honor Time Awarded by Awarded to
2014 China Shipping CSR Award 2014 China Shipping Gazette China Shipping
Organizing Committee of Asia’s Top Ten Influential Brands 2014 China Shipping Asia Brand Ceremony
China Communications and China Freight Industry Awards 2014 Transportation Association CSCL
2013 Best Carrier Award 2014 Toy’s R Us CSCL
Bronze Award for China’s Shipping Enterprise with Best Assets in 2014 2014 CNSS Research Center CSCL
Shanghai Municipal Featured Communist Youth 2014 Committee of the Communist CSDTC League Committee of Shanghai Youth League of China
A total of 18 vessels were dubbed Maritime Safety 2014 CSBC as Safe and Trustworthy Ships Administration of China
Maritime Safety Safe and Trustworthy Enterprise 2014 CSBC Administration of China
First-grade Transport Enterprise up to Workplace Safety Standards 2015 Ministry of Transport CSBC
Ministry of Transport, Outstanding Group in Spring Rush Ministry of Public Security, in 2014 2014 State Administration of CSPL Work Safety, and All-China Federation of Trade Unions
Liaoning Provincial 2012-2014 Model Entity of Liaoning 2014 CSPL Government
Leading Group of Poverty 2013 “Kapok Cup” for Poverty Guangzhou 2014 Alleviation and Development Alleviation in Guangdong Shipping of Guangdong
Outstanding Enterprise in Clean Guangzhou Environmental 2014 CIC Production in Guangzhou Protection Bureau
Envision Energy 2014 Outstanding Envision Energy (Jiangsu) 2015 CSL Logistics Service Provider Co., Ltd.
2014 Corporate Social Responsibility Report China Shipping (Group) Company Feedback Form 79
Feedback Form
Dear reader,
Thank you for reading China Shipping 2014 CSR Report. Your opinions and suggestions on our CSR- related tasks and this report are important for us to constantly improve the disclosure of information concerned and promote CSR management and practices. Please fill out the form below and send it to us via mail, email or fax.
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1. What do you think of the structure of this report? 2. Has this report told you enough about our CSR ideology and practices? 3. Do you think this report is reader-friendly? 4. What do you think of the content and design of this report? 5. What is your overall impression of this report?
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2014 Corporate Social Responsibility Report